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Peer Effects And Relative Performance Of Voucher Schools In Chile

Author

Listed:
  • Bernardita Vial
  • Claudio Sapelli

Abstract

The empirical literature developed to evaluate the voucher system in Chile faced, up until late 1999, methodological and/or data limitations. Since then, the literature has used individual data and introduced a correction for selection bias. However, the treatment parameters do not take into account that voucher schools work with different budgets. Also, the importance of the peer effect has not been discussed in the treatment literature. In the first section of this paper we control for the amount of additional per capita government funds received by public schools. We find that when public and private voucher schools receive similar per capita subsidies, the effect of treatment on the treated (where treatment is attendance to a private voucher school) is large in magnitude and statistically significant. Since this result could be the consequence of sorting and the peer effect, and not of the effectiveness of private voucher schools, in the second section of the paper we estimate new treatment parameters, controlling for peer group characteristics. However, even when we condition on peer group characteristics, we find a treatment parameter that is positive, large in magnitude and statistically significant (when public and private voucher schools receive similar per capita subsidies). Hence, positive treatment effects are not due to the peer effect and/ or sorting

Suggested Citation

  • Bernardita Vial & Claudio Sapelli, 2004. "Peer Effects And Relative Performance Of Voucher Schools In Chile," Econometric Society 2004 Latin American Meetings 96, Econometric Society.
    • Handle: RePEc:ecm:latm04:96
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    Cited by:

    1. Idrovo Aguirre, Byron, 2007. "¿Son las escuelas particulares subvencionadas mejores que las municipales? Estimación de la ecuación de logro escolar para Chile [Are the subsidized particular schools better than the public schools? Estimation of the equation of scholastic profit," MPRA Paper 10665, University Library of Munich, Germany.
    2. Gabriel Heller Sahlgren, 2014. "Handing Over the School Keys: The Impact of Privatisation on Education Quality," Economic Affairs, Wiley Blackwell, vol. 34(2), pages 196-210, June.
    3. Francisco A. Gallego, 2004. "School Choice, Incentives, and Academic Outcomes: Evidence from Chile," Econometric Society 2004 Latin American Meetings 39, Econometric Society.
    4. Felipe Barrera-Osorio & Harry Anthony Patrinos & Juliana Guaqueta, 2009. "The Role and Impact of Public-Private Partnerships in Education," World Bank Publications - Books, The World Bank Group, number 2612, April.

    More about this item

    Keywords

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    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy

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