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

  • Wößmann, Ludger

Cross-country evidence on student achievement might be hampered byomitted country characteristics such as language or legal differences.This paper uses cross-state variation in Germany, whose sixteen statesshare the same language and legal system, but pursue different educationpolicies. Education production function models are estimated usingstate-level PISA-E data, where possible pooling three subjects and threewaves to obtain up to 138 test-score observations. The same resultsfound previously across countries hold within Germany: Higher meanstudent performance is associated with central exams, private schooloperation, and socio-economic background, but not with spending, whilehigher equality of opportunity is associated with reduced tracking. Inmodels that pool German states with OECD countries and combine up to 54state and country observations, these institutional determinants do notdiffer significantly between the sample of German states and the sampleof OECD countries, indicating that the existing cross-country evidenceis not substantially biased by unobserved country-specific factors.

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Paper provided by University of Munich, Department of Economics in its series Munich Reprints in Economics with number 19681.

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Date of creation: 2010
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Publication status: Published in Jahrbücher für Nationalökonomie und Statistik 2 230(2010): pp. 234-270
Handle: RePEc:lmu:muenar:19681
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  1. Wößmann, Ludger, 2007. "International evidence on school competition, autonomy, and accountability: A review," Munich Reprints in Economics 19649, University of Munich, Department of Economics.
  2. Andrei Shleifer, 1998. "State Versus Private Ownership," NBER Working Papers 6665, National Bureau of Economic Research, Inc.
  3. Hanushek, Eric A & Rivkin, Steven G & Taylor, Lori L, 1996. "Aggregation and the Estimated Effects of School Resources," The Review of Economics and Statistics, MIT Press, vol. 78(4), pages 611-27, November.
  4. Wößmann, Ludger, 2005. "Educational production in Europe," Munich Reprints in Economics 19656, University of Munich, Department of Economics.
  5. Bishop, John H. & Woessmann, Ludger, 2002. "Institutional Effects in a Simple Model of Educational Production," IZA Discussion Papers 484, Institute for the Study of Labor (IZA).
  6. Hendrik Jürges & Kerstin Schneider & Felix Büchel, 2005. "The Effect Of Central Exit Examinations On Student Achievement: Quasi-Experimental Evidence From TIMSS Germany," Journal of the European Economic Association, MIT Press, vol. 3(5), pages 1134-1155, 09.
  7. Fertig, Michael & Wright, Robert E., 2005. "School quality, educational attainment and aggregation bias," Economics Letters, Elsevier, vol. 88(1), pages 109-114, July.
  8. Gabriela Schütz & Heinrich W. Ursprung & Ludger Wö�mann, 2008. "Education Policy and Equality of Opportunity," Kyklos, Wiley Blackwell, vol. 61(2), pages 279-308, 05.
  9. Wößmann, Ludger, 2009. "International evidence on school tracking: A review," Munich Reprints in Economics 19686, University of Munich, Department of Economics.
  10. West, Martin R. & Woessmann, Ludger, 2008. ""Every Catholic Child in a Catholic School": Historical Resistance to State Schooling, Contemporary Private Competition, and Student Achievement across Countries," IZA Discussion Papers 3818, Institute for the Study of Labor (IZA).
  11. Gundlach, Erich & Wößmann, Ludger & Gmelin, Jens, 2001. "The decline of schooling productivity in OECD countries," Munich Reprints in Economics 20451, University of Munich, Department of Economics.
  12. Ammermüller, Andreas, 2005. "Educational Opportunities and the Role of Institutions," ZEW Discussion Papers 05-44, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  13. Lee, J.-W. & Barro, R.J., 1998. "Schooling Quality in a Cross Section of Countries," Papers 659, Harvard - Institute for International Development.
  14. Fuchs, Thomas & Woessmann, Ludger, 2004. "What Accounts for International Differences in Student Performance? A Re-Examination Using PISA Data," IZA Discussion Papers 1287, Institute for the Study of Labor (IZA).
  15. Hendrik Jürges & Wolfram F. Richter & Kerstin Schneider, 2005. "Teacher quality and incentives - Theoretical and empirical effects of standards on teacher quality," MEA discussion paper series 05091, Munich Center for the Economics of Aging (MEA) at the Max Planck Institute for Social Law and Social Policy.
  16. Bauer, Philipp & Riphahn, Regina T., 2006. "Timing of school tracking as a determinant of intergenerational transmission of education," Economics Letters, Elsevier, vol. 91(1), pages 90-97, April.
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