IDEAS home Printed from https://ideas.repec.org/a/bla/jecsur/v35y2021i2p408-451.html
   My bibliography  Save this article

Effects Of Grade Retention Policies: A Literature Review Of Empirical Studies Applying Causal Inference

Author

Listed:
  • Javier Valbuena
  • Mauro Mediavilla
  • Álvaro Choi
  • María Gil

Abstract

The identification of the causal effects of grade retention policies is of enormous relevance for researchers and policymakers alike. Taking advantage of the availability of more detailed longitudinal datasets, researchers have been able to apply different identification strategies that address the classical problems of selection bias and unobserved heterogeneity that have plagued previous studies on the effect of retention. We present a systematic literature review of empirical studies aiming to unveil the causal effects of retention. This study underlines the need to consider and evaluate different kinds of grade retention polices as their effects vary depending on several dimensions (such as timing of the policy, comparison groups, length of the effects or institutional settings). According to the results of our review, we conclude that grade retention is unlikely to be an efficient policy as the costs associated to the policy can easily outweigh the potential (weak) benefits of retention. It is therefore necessary to consider alternative policies to retention, or policies that can be used in combination with it, in order to enhance the performance of low achievers, in particular those students at risk characterized by a low ability profile.

Suggested Citation

  • Javier Valbuena & Mauro Mediavilla & Álvaro Choi & María Gil, 2021. "Effects Of Grade Retention Policies: A Literature Review Of Empirical Studies Applying Causal Inference," Journal of Economic Surveys, Wiley Blackwell, vol. 35(2), pages 408-451, April.
  • Handle: RePEc:bla:jecsur:v:35:y:2021:i:2:p:408-451
    DOI: 10.1111/joes.12406
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/joes.12406
    Download Restriction: no

    File URL: https://libkey.io/10.1111/joes.12406?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Dong, Yingying, 2010. "Kept back to get ahead? Kindergarten retention and academic performance," European Economic Review, Elsevier, vol. 54(2), pages 219-236, February.
    2. Hill, Andrew J., 2014. "The costs of failure: Negative externalities in high school course repetition," Economics of Education Review, Elsevier, vol. 43(C), pages 91-105.
    3. Corman, H., 2003. "The effects of state policies, individual characteristics, family characteristics, and neighbourhood characteristics on grade repetition in the United States," Economics of Education Review, Elsevier, vol. 22(4), pages 409-420, August.
    4. Elodie Alet & Liliane Bonnal & Pascal Favard, 2013. "Repetition: Medicine for a Short-run Remission," Annals of Economics and Statistics, GENES, issue 111-112, pages 227-250.
    5. Philip Babcock & Kelly Bedard, 2011. "The Wages of Failure: New Evidence on School Retention and Long-Run Outcomes," Education Finance and Policy, MIT Press, vol. 6(3), pages 293-322, July.
    6. J. Ignacio Garc𫑐鲥z & Marisa Hidalgo-Hidalgo & J. Antonio Robles-Zurita, 2014. "Does grade retention affect students' achievement? Some evidence from Spain," Applied Economics, Taylor & Francis Journals, vol. 46(12), pages 1373-1392, April.
    7. Figlio, David & Özek, Umut, 2020. "An extra year to learn English? Early grade retention and the human capital development of English learners," Journal of Public Economics, Elsevier, vol. 186(C).
    8. Brodaty, Thomas & Gary-Bobo, Robert J. & Prieto, Ana, 2014. "Do risk aversion and wages explain educational choices?," Journal of Public Economics, Elsevier, vol. 117(C), pages 125-148.
    9. James J. Heckman, 2010. "Building Bridges between Structural and Program Evaluation Approaches to Evaluating Policy," Journal of Economic Literature, American Economic Association, vol. 48(2), pages 356-398, June.
    10. Berberoglu, Giray & Tansel, Aysit, 2014. "Does private tutoring increase students’ academic performance? Evidence from Turkey," MPRA Paper 57370, University Library of Munich, Germany.
    11. Victor Lavy & M. Daniele Paserman & Analia Schlosser, 2012. "Inside the Black Box of Ability Peer Effects: Evidence from Variation in the Proportion of Low Achievers in the Classroom," Economic Journal, Royal Economic Society, vol. 122(559), pages 208-237, March.
    12. Almond, Douglas & Currie, Janet, 2011. "Human Capital Development before Age Five," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 4, chapter 15, pages 1315-1486, Elsevier.
    13. Ferreira Sequeda, Maria & Golsteyn, Bart & Parra Cely, Sergio, 2018. "The effect of grade retention on secondary school performance: Evidence from a natural experiment," ROA Research Memorandum 003, Maastricht University, Research Centre for Education and the Labour Market (ROA).
    14. David S. Lee & Thomas Lemieux, 2010. "Regression Discontinuity Designs in Economics," Journal of Economic Literature, American Economic Association, vol. 48(2), pages 281-355, June.
    15. Ron Diris, 2017. "Don't Hold Back? The Effect of Grade Retention on Student Achievement," Education Finance and Policy, MIT Press, vol. 12(3), pages 312-341, Summer.
    16. Imbens, Guido W. & Lemieux, Thomas, 2008. "Regression discontinuity designs: A guide to practice," Journal of Econometrics, Elsevier, vol. 142(2), pages 615-635, February.
    17. Edwin Leuven & Marte Rønning, 2016. "Classroom Grade Composition and Pupil Achievement," Economic Journal, Royal Economic Society, vol. 126(593), pages 1164-1192, June.
    18. Bart Cockx & Matteo Picchio & Stijn Baert, 2019. "Modeling the effects of grade retention in high school," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 34(3), pages 403-424, April.
    19. James J. Heckman & Edward Vytlacil, 2005. "Structural Equations, Treatment Effects, and Econometric Policy Evaluation," Econometrica, Econometric Society, vol. 73(3), pages 669-738, May.
    20. Schwerdt, Guido & West, Martin R. & Winters, Marcus A., 2017. "The effects of test-based retention on student outcomes over time: Regression discontinuity evidence from Florida," Journal of Public Economics, Elsevier, vol. 152(C), pages 154-169.
    21. Jane Cooley Fruehwirth & Salvador Navarro & Yuya Takahashi, 2016. "How the Timing of Grade Retention Affects Outcomes: Identification and Estimation of Time-Varying Treatment Effects," Journal of Labor Economics, University of Chicago Press, vol. 34(4), pages 979-1021.
    22. Eren, Ozkan & Depew, Briggs & Barnes, Stephen, 2017. "Test-based promotion policies, dropping out, and juvenile crime," Journal of Public Economics, Elsevier, vol. 153(C), pages 9-31.
    23. Derek Neal & Diane Whitmore Schanzenbach, 2010. "Left Behind by Design: Proficiency Counts and Test-Based Accountability," The Review of Economics and Statistics, MIT Press, vol. 92(2), pages 263-283, May.
    24. Hugo Reis & Manuel Coutinho Pereira, 2014. "Grade retention during basic education in Portugal: determinants and impact on student achievement," Economic Bulletin and Financial Stability Report Articles and Banco de Portugal Economic Studies, Banco de Portugal, Economics and Research Department.
    25. Brian A. Jacob & Lars Lefgren, 2004. "Remedial Education and Student Achievement: A Regression-Discontinuity Analysis," The Review of Economics and Statistics, MIT Press, vol. 86(1), pages 226-244, February.
    26. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 31(3), pages 129-137.
    27. Marco Manacorda, 2012. "The Cost of Grade Retention," The Review of Economics and Statistics, MIT Press, vol. 94(2), pages 596-606, May.
    28. Stefanie Hof, 2014. "Does private tutoring work? The effectiveness of private tutoring: a nonparametric bounds analysis," Education Economics, Taylor & Francis Journals, vol. 22(4), pages 347-366, August.
    29. Kelly Bedard & Elizabeth Dhuey, 2006. "The Persistence of Early Childhood Maturity: International Evidence of Long-Run Age Effects," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(4), pages 1437-1472.
    30. Robert J. Gary‐Bobo & Marion Goussé & Jean‐Marc Robin, 2016. "Grade retention and unobserved heterogeneity," Quantitative Economics, Econometric Society, vol. 7(3), pages 781-820, November.
    31. Paul J. Gertler & Sebastian Martinez & Patrick Premand & Laura B. Rawlings & Christel M. J. Vermeersch, 2016. "Impact Evaluation in Practice, Second Edition," World Bank Publications - Books, The World Bank Group, number 25030.
    32. Brian A. Jacob & Lars Lefgren, 2009. "The Effect of Grade Retention on High School Completion," American Economic Journal: Applied Economics, American Economic Association, vol. 1(3), pages 33-58, July.
    33. Flavio Cunha & James J. Heckman, 2008. "Formulating, Identifying and Estimating the Technology of Cognitive and Noncognitive Skill Formation," Journal of Human Resources, University of Wisconsin Press, vol. 43(4).
    34. Mohamed-Badrane Mahjoub, 2017. "The treatment effect of grade repetitions," Education Economics, Taylor & Francis Journals, vol. 25(4), pages 418-432, July.
    35. Todd E. Elder & Darren H. Lubotsky, 2009. "Kindergarten Entrance Age and Children’s Achievement: Impacts of State Policies, Family Background, and Peers," Journal of Human Resources, University of Wisconsin Press, vol. 44(3).
    36. Álvaro Choi & María Gil & Mauro Mediavilla & Javier Valbuena, 2016. "The evolution of educational inequalities in Spain: dynamic evidence from repeated cross-sections," Working Papers 2016/25, Institut d'Economia de Barcelona (IEB).
    37. Agasisti, Tommaso & Cordero, Jose M., 2017. "The determinants of repetition rates in Europe: Early skills or subsequent parents’ help?," Journal of Policy Modeling, Elsevier, vol. 39(1), pages 129-146.
    38. Eide, Eric R. & Showalter, Mark H., 2001. "The effect of grade retention on educational and labor market outcomes," Economics of Education Review, Elsevier, vol. 20(6), pages 563-576, December.
    39. Luis Catela Nunes & Ana Balcão Reis & Carmo Seabra, 2018. "Is retention beneficial to low-achieving students? Evidence from Portugal," Applied Economics, Taylor & Francis Journals, vol. 50(40), pages 4306-4317, August.
    40. Pedraja-Chaparro, Francisco & Santín, Daniel & Simancas, Rosa, 2015. "Determinants of grade retention in France and Spain: Does birth month matter?," Journal of Policy Modeling, Elsevier, vol. 37(5), pages 820-834.
    41. Jay P. Greene & Marcus A. Winters, 2007. "Revisiting Grade Retention: An Evaluation of Florida's Test-Based Promotion Policy," Education Finance and Policy, MIT Press, vol. 2(4), pages 319-340, September.
    42. Peter Glick & David E. Sahn, 2010. "Early Academic Performance, Grade Repetition, and School Attainment in Senegal: A Panel Data Analysis," The World Bank Economic Review, World Bank, vol. 24(1), pages 93-120, January.
    43. Jeffrey M. Wooldridge, 2015. "Control Function Methods in Applied Econometrics," Journal of Human Resources, University of Wisconsin Press, vol. 50(2), pages 420-445.
    44. Richard Blundell, 2017. "What Have We Learned from Structural Models?," American Economic Review, American Economic Association, vol. 107(5), pages 287-292, May.
    45. repec:hal:spmain:info:hdl:2441/4po7er2pp49baoh37bjdkluouu is not listed on IDEAS
    46. Choi, Hoon & Choi, Álvaro, 2016. "Regulating private tutoring consumption in Korea: Lessons from another failure," International Journal of Educational Development, Elsevier, vol. 49(C), pages 144-156.
    47. Gomes-Neto, Joao Batista & Hanushek, Eric A, 1994. "Causes and Consequences of Grade Repetition: Evidence from Brazil," Economic Development and Cultural Change, University of Chicago Press, vol. 43(1), pages 117-148, October.
    48. Álvaro Choi & María Gil & Mauro Mediavilla & Javier Valbuena, 2018. "The Evolution of Educational Inequalities in Spain: Dynamic Evidence from Repeated Cross-Sections," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 138(3), pages 853-872, August.
    49. Joshua D. Angrist & Victor Lavy, 1999. "Using Maimonides' Rule to Estimate the Effect of Class Size on Scholastic Achievement," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(2), pages 533-575.
    50. Jacob, Brian A., 2005. "Accountability, incentives and behavior: the impact of high-stakes testing in the Chicago Public Schools," Journal of Public Economics, Elsevier, vol. 89(5-6), pages 761-796, June.
    51. Robert Gary-Bobo & Jean-Marc Robin & Marion Goussé, 2016. "Grade Retention and Unobserved Heterogeneity," Post-Print hal-03572141, HAL.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhang, Shiying & Huang, Ao, 2022. "The long-term effects of automatic grade promotion on child development," China Economic Review, Elsevier, vol. 74(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hugo Reis & Emilio Borghesan, 2022. "Learning Through Repetition? A Dynamic Evaluation of Grade Retention in Portugal," Working Papers w202220, Banco de Portugal, Economics and Research Department.
    2. Robert J. Gary‐Bobo & Marion Goussé & Jean‐Marc Robin, 2016. "Grade retention and unobserved heterogeneity," Quantitative Economics, Econometric Society, vol. 7(3), pages 781-820, November.
    3. Zhang, Shiying & Huang, Ao, 2022. "The long-term effects of automatic grade promotion on child development," China Economic Review, Elsevier, vol. 74(C).
    4. Ron Diris, 2017. "Don't Hold Back? The Effect of Grade Retention on Student Achievement," Education Finance and Policy, MIT Press, vol. 12(3), pages 312-341, Summer.
    5. repec:hal:spmain:info:hdl:2441/6tve7u8o9k9dv8fanl7utalotr is not listed on IDEAS
    6. repec:spo:wpmain:info:hdl:2441/6tve7u8o9k9dv8fanl7utalotr is not listed on IDEAS
    7. Bach, Maximilian, 2019. "Strategic grade retention," ZEW Discussion Papers 19-059, ZEW - Leibniz Centre for European Economic Research.
    8. Servaas van der Berg & Gabrielle Wills & Rebecca Selkirk & Charles Adams & Chris van Wyk, 2019. "The cost of repetition in South Africa," Working Papers 13/2019, Stellenbosch University, Department of Economics.
    9. Foureaux Koppensteiner, Martin, 2014. "Automatic grade promotion and student performance: Evidence from Brazil," Journal of Development Economics, Elsevier, vol. 107(C), pages 277-290.
    10. Schwerdt, Guido & West, Martin R. & Winters, Marcus A., 2017. "The effects of test-based retention on student outcomes over time: Regression discontinuity evidence from Florida," Journal of Public Economics, Elsevier, vol. 152(C), pages 154-169.
    11. Ferreira Sequeda, Maria & Golsteyn, Bart & Parra Cely, Sergio, 2018. "The effect of grade retention on secondary school performance: Evidence from a natural experiment," ROA Research Memorandum 003, Maastricht University, Research Centre for Education and the Labour Market (ROA).
    12. Agasisti, Tommaso & Cordero, Jose M., 2017. "The determinants of repetition rates in Europe: Early skills or subsequent parents’ help?," Journal of Policy Modeling, Elsevier, vol. 39(1), pages 129-146.
    13. Álvaro Choi & María Gil & Mauro Mediavilla & Javier Valbuena, 2016. "Double toil and trouble: grade retention and academic performance," Working Papers 2016/7, Institut d'Economia de Barcelona (IEB).
    14. Figlio, D. & Karbownik, K. & Salvanes, K.G., 2016. "Education Research and Administrative Data," Handbook of the Economics of Education,, Elsevier.
    15. Hill, Andrew J., 2014. "The costs of failure: Negative externalities in high school course repetition," Economics of Education Review, Elsevier, vol. 43(C), pages 91-105.
    16. Baert, Stijn & Picchio, Matteo, 2021. "A signal of (Train)ability? Grade repetition and hiring chances," Journal of Economic Behavior & Organization, Elsevier, vol. 188(C), pages 867-878.
    17. Marion Goussé, 2014. "Marriage market and intra-household allocation : essays in economics of family and education [Formation des couples et allocation des ressources au sein des ménages : essais en économie de la famil," SciencePo Working papers Main tel-03516515, HAL.
    18. Marion Gousse, 2014. "Marriage Market and Intra-Household Allocation. Essays in Economics of Family and Education," Sciences Po publications info:hdl:2441/6tve7u8o9k9, Sciences Po.
    19. Solis, Alex, 2017. "The Effects of Grade Retention on Human Capital Accumulation," Working Paper Series 2017:15, Uppsala University, Department of Economics, revised 07 Dec 2017.
    20. Jane Cooley Fruehwirth & Salvador Navarro & Yuya Takahashi, 2016. "How the Timing of Grade Retention Affects Outcomes: Identification and Estimation of Time-Varying Treatment Effects," Journal of Labor Economics, University of Chicago Press, vol. 34(4), pages 979-1021.
    21. Eren, Ozkan & Depew, Briggs & Barnes, Stephen, 2017. "Test-based promotion policies, dropping out, and juvenile crime," Journal of Public Economics, Elsevier, vol. 153(C), pages 9-31.
    22. Leighton, Margaret & Souza, Priscila & Straub, Stéphane, 2016. "Social Promotion in Primary School: Immediate and Cumulated Effects on Attainment," TSE Working Papers 16-649, Toulouse School of Economics (TSE).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:jecsur:v:35:y:2021:i:2:p:408-451. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0950-0804 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.