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The Effects of a Teacher Performance-Pay Program on Student Achievement: A Regression Discontinuity Approach

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  • Yusuke Jinnai

    (International University of Japan)

Abstract

This paper presents evidence from a regression-discontinuity analysis of a teacher performance-pay program, in which teachers are awarded an additional cash bonus for improving their students' achievement. Results show that teachers who failed to reach an expected benchmark for their students' achievement, resulting in no bonuses, performed significantly better in the subsequent year than those who reached this benchmark and thus received a bonus. This finding highlights that the presence of performance-pay incentives affects student achievement in future years by inducing more effort from teachers who failed in the present year. Moreover, the results demonstrate that such impact disappeared once the government repealed the pay scheme: another indication that teachers actively respond to monetary bonuses.

Suggested Citation

  • Yusuke Jinnai, 2016. "The Effects of a Teacher Performance-Pay Program on Student Achievement: A Regression Discontinuity Approach," Economics Bulletin, AccessEcon, vol. 36(2), pages 993-999.
    • Handle: RePEc:ebl:ecbull:eb-16-00093
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    References listed on IDEAS

    as
    1. Reback, Randall, 2008. "Teaching to the rating: School accountability and the distribution of student achievement," Journal of Public Economics, Elsevier, vol. 92(5-6), pages 1394-1415, June.
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    More about this item

    Keywords

    School accountability; Performance pay; Teacher incentive;
    All these keywords.

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • H0 - Public Economics - - General

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