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Weak Markets, Strong Teachers: Recession at Career Start and Teacher Effectiveness

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  • Markus Nagler
  • Marc Piopiunik
  • Martin R. West

Abstract

How do alternative job opportunities affect teacher quality? We provide causal evidence on this question by exploiting business cycle conditions at career start as a source of exogenous variation in the outside options of potential teachers. Unlike prior research, we directly assess teacher quality with value-added measures of impacts on student test scores, using administrative data on over 30,000 Florida public school teachers. Consistent with a Roy model of occupational choice, teachers entering the profession during recessions are significantly more effective in raising student test scores. Results are supported by robustness tests and unlikely to be driven by differential attrition.

Suggested Citation

  • Markus Nagler & Marc Piopiunik & Martin R. West, 2020. "Weak Markets, Strong Teachers: Recession at Career Start and Teacher Effectiveness," Journal of Labor Economics, University of Chicago Press, vol. 38(2), pages 453-500.
    • Handle: RePEc:ucp:jlabec:doi:10.1086/705883
    DOI: 10.1086/705883
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • I20 - Health, Education, and Welfare - - Education - - - General
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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