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Some Simple Analytics of School Quality

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  • Eric A. Hanushek

Abstract

Most empirical analyses of human capital have concentrated solely on the quantity of schooling attained by individuals, ignoring quality differences. This focus contrasts sharply with policy considerations that almost exclusively consider school quality issues. This paper presents basic evidence about the impact of school quality on individual earnings and on economic growth. The calculations emphasize how benefits relate to both the magnitude and the speed of quality improvements. It then considers alternative school reform policies focused on improvements in teacher quality, identifying how much change is required. Finally, teacher bonus policies are put into the context of potential benefits.

Suggested Citation

  • Eric A. Hanushek, 2004. "Some Simple Analytics of School Quality," NBER Working Papers 10229, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:10229
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    1. Dennis J. Dugan & Dean T. Jamison & Roy Radner, 1976. "Scholastic Achievement: Its Determinants and Effects in the Education Industry," NBER Chapters,in: Education as an Industry, pages 53-94 National Bureau of Economic Research, Inc.
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    14. Jeff Grogger & Eric Eide, 1995. "Changes in College Skills and the Rise in the College Wage Premium," Journal of Human Resources, University of Wisconsin Press, vol. 30(2), pages 280-310.
    15. Jerik Hanushek & Dennis Kimko, 2006. "Schooling, Labor-force Quality, and the Growth of Nations," Educational Studies, Higher School of Economics, issue 1, pages 154-193.
    16. Eric A. Hanushek & Steven G. Rivkin, 1996. "Understanding the 20th Century Growth in U.S. School Spending," NBER Working Papers 5547, National Bureau of Economic Research, Inc.
    17. Murnane, Richard J & Willett, John B & Levy, Frank, 1995. "The Growing Importance of Cognitive Skills in Wage Determination," The Review of Economics and Statistics, MIT Press, vol. 77(2), pages 251-266, May.
    18. Card, David, 1999. "The causal effect of education on earnings," Handbook of Labor Economics,in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 30, pages 1801-1863 Elsevier.
    19. William Easterly, 2002. "The Elusive Quest for Growth: Economists' Adventures and Misadventures in the Tropics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262550423, January.
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    Cited by:

    1. Caselli, Francesco, 2005. "Accounting for Cross-Country Income Differences," Handbook of Economic Growth,in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 9, pages 679-741 Elsevier.
    2. Rossana Patrón, 2009. "Can more education be bad? Some simple analytics on financing education," Documentos de Trabajo (working papers) 1709, Department of Economics - dECON.
    3. Rossana Patrón, 2006. "Enhancing the Public Provision of Education: The Economics of Education Reform in Developing Countries," Documentos de Trabajo (working papers) 1106, Department of Economics - dECON.
    4. Caselli, Francesco, 2005. "Accounting for cross-country income differences," LSE Research Online Documents on Economics 3567, London School of Economics and Political Science, LSE Library.
    5. David N. Figlio & E. Maurice Lucas, 2004. "High Grading Standards Improve Student Performance," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 2(4), pages 21-26, 01.
    6. Antonio Ciccone & Elias Papaioannou, 2009. "Human Capital, the Structure of Production, and Growth," The Review of Economics and Statistics, MIT Press, vol. 91(1), pages 66-82, February.
    7. Cabrera Hernández, Francisco-Javier, 2016. "Essays on the impact evaluation of education policies in Mexico," Economics PhD Theses 0316, Department of Economics, University of Sussex.
    8. Rossana Patron, 2008. "Enhancing the public provision of education: the economics of education reform in developing countries," Economics Bulletin, AccessEcon, vol. 9(26), pages 1-8.
    9. Eric Hanushek, 2004. "United States lessons about school accountability," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 2(4), pages 27-32, 01.
    10. Dudovitz, Rebecca N. & Nelson, Bergen B. & Coker, Tumaini R. & Biely, Christopher & Li, Ning & Wu, Lynne C. & Chung, Paul J., 2016. "Long-term health implications of school quality," Social Science & Medicine, Elsevier, vol. 158(C), pages 1-7.
    11. Antonio Caparrós Ruiz (ed.), 2011. "Investigaciones de Economía de la Educación," E-books Investigaciones de Economía de la Educación, Asociación de Economía de la Educación, edition 1, volume 6, number 06, Winter.
    12. Stevenson, Adam, 2013. "The male–female gap in post-baccalaureate school quality," Economics of Education Review, Elsevier, vol. 36(C), pages 153-165.
    13. Yusuf, Shahid, 2007. "From creativity to innovation," Policy Research Working Paper Series 4262, The World Bank.
    14. Francisco Cabrera-Hernandez, 2015. "Does lengthening the school day increase students’ academic achievement? Evidence from a natural experiment," Working Paper Series 7415, Department of Economics, University of Sussex.
    15. repec:ces:ifodic:v:2:y:2004:i:4:p:14567717 is not listed on IDEAS
    16. repec:ebl:ecbull:v:9:y:2008:i:26:p:1-8 is not listed on IDEAS
    17. Eric A. Hanushek & Margaret E. Raymond, 2005. "Does school accountability lead to improved student performance?," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 24(2), pages 297-327.
    18. Servaas van der Berg & Megan Louw, 2007. "Lessons learnt from SACMEQII: South African student performance in regional context," Working Papers 16/2007, Stellenbosch University, Department of Economics.
    19. Eric A. Hanushek & Margaret E. Raymond, 2006. "School accountability and student performance," Regional Economic Development, Federal Reserve Bank of St. Louis, issue Mar, pages 51-61.

    More about this item

    JEL classification:

    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • H4 - Public Economics - - Publicly Provided Goods

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