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Institutional Determinants of School Efficiency and Equity: German States as a Microcosm for OECD Countries

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  • Woessmann Ludger

    () (Center for Economic Studies, University of Munich and Ifo Institute for Economic Research, Poschingerstr. 5, 81679 Munich, Germany; CESifo and IZA)

Abstract

Cross-country evidence on student achievement might be hampered by omitted country characteristics such as language or legal differences. This paper uses cross-state variation in Germany, whose sixteen states share the same language and legal system, but pursue different education policies. Education production function models are estimated using state-level PISA-E data, where possible pooling three subjects and three waves to obtain up to 138 test-score observations. The same results found previously across countries hold within Germany:Higher mean student performance is associated with central exams, private school operation, and socio-economic background, but not with spending, while higher equality of opportunity is associated with reduced tracking. In models that pool German states with OECD countries and combine up to 54 state and country observations, these institutional determinants do not differ significantly between the sample of German states and the sample of OECD countries, indicating that the existing cross-country evidence is not substantially biased by unobserved country-specific factors.

Suggested Citation

  • Woessmann Ludger, 2010. "Institutional Determinants of School Efficiency and Equity: German States as a Microcosm for OECD Countries," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 230(2), pages 234-270, April.
  • Handle: RePEc:jns:jbstat:v:230:y:2010:i:2:p:234-270
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    Citations

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    Cited by:

    1. Piopiunik, Marc, 2014. "The effects of early tracking on student performance: Evidence from a school reform in Bavaria," Economics of Education Review, Elsevier, vol. 42(C), pages 12-33.
    2. Ludger Woessmann, 2016. "The Importance of School Systems: Evidence from International Differences in Student Achievement," Journal of Economic Perspectives, American Economic Association, vol. 30(3), pages 3-32, Summer.
    3. repec:iza:izawol:journl:y:2018:n:419 is not listed on IDEAS
    4. Piopiunik, Marc & Schwerdt, Guido & Woessmann, Ludger, 2013. "Central school exit exams and labor-market outcomes," European Journal of Political Economy, Elsevier, vol. 31(C), pages 93-108.
    5. Meyer, Tobias & Thomsen, Stephan L., 2012. "How Important is Secondary School Duration for Post-school Education Decisions? Evidence from a Natural Experiment," Hannover Economic Papers (HEP) dp-509, Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät.
    6. Betts, Julian R., 2011. "The Economics of Tracking in Education," Handbook of the Economics of Education, Elsevier.
    7. Maria A. Cattaneo & Chantal Oggenfuss & Stefan C. Wolter, 2017. "The more, the better? The impact of instructional time on student performance," Education Economics, Taylor & Francis Journals, vol. 25(5), pages 433-445, September.
    8. Bauer, Philipp C. & Riphahn, Regina T., 2013. "Institutional determinants of intergenerational education transmission — Comparing alternative mechanisms for natives and immigrants," Labour Economics, Elsevier, vol. 25(C), pages 110-122.
    9. Ludger Wößmann, 2011. "Wettbewerb durch öffentliche Finanzierung von Schulen in freier Trägerschaft als wichtiger Ansatzpunkt zur Verbesserung des Schulsystems," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 64(01), pages 09-18, January.
    10. Philipp Mandel & Bernd Süssmuth, 2011. "Total Instructional Time Exposure and Student Achievement: An Extreme Bounds Analysis Based on German State-Level Variation," CESifo Working Paper Series 3580, CESifo Group Munich.
    11. HINDRIKS, Jean & VERSCHELDE, Marijn & RAYP, Glenn & SCHOORS, Koen, 2010. "School autonomy and educational performance: within-country evidence," CORE Discussion Papers 2010082, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).

    More about this item

    Keywords

    Student performance; PISA; Germany; education production function; institutional effects in schooling;

    JEL classification:

    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • L38 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Policy
    • L33 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Comparison of Public and Private Enterprise and Nonprofit Institutions; Privatization; Contracting Out
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • J - Labor and Demographic Economics

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