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Teacher Quality Policy When Supply Matters

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  • Jesse Rothstein

Abstract

Recent proposals would strengthen the dependence of teacher pay and retention on performance, in order to attract those who will be effective teachers and repel those who will not. I model the teacher labor market, incorporating dynamic self-selection, noisy performance measurement, and Bayesian learning. Simulations indicate that labor market interactions are important to the evaluation of alternative teacher contracts. Typical bonus policies have very small effects on selection. Firing policies can have larger effects, if accompanied by substantial salary increases. However, misalignment between productivity and measured performance nearly eliminates the benefits while preserving most of the costs.

Suggested Citation

  • Jesse Rothstein, 2012. "Teacher Quality Policy When Supply Matters," NBER Working Papers 18419, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:18419
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    Citations

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    Cited by:

    1. Lucia Rizzica, 2015. "The use of fixed-term contracts and the (adverse) selection of public sector workers," Temi di discussione (Economic working papers) 1041, Bank of Italy, Economic Research and International Relations Area.
    2. Goldhaber, Dan & Cowan, James & Walch, Joe, 2013. "Is a good elementary teacher always good? Assessing teacher performance estimates across subjects," Economics of Education Review, Elsevier, vol. 36(C), pages 216-228.
    3. Sean Corcoran & Dan Goldhaber, 2013. "Value Added and Its Uses: Where You Stand Depends on Where You Sit," Education Finance and Policy, MIT Press, vol. 8(3), pages 418-434, July.
    4. Hinrichs, Peter, 2014. "What Kind of Teachers Are Schools Looking For? Evidence from a Randomized Field Experiment," Working Paper 1436, Federal Reserve Bank of Cleveland.
    5. Nava Ashraf & Oriana Bandiera & Scott Lee, 2014. "Losing Prosociality in the Quest for Talent? Sorting, Selection, and Productivity in the Delivery of Public Services," STICERD - Economic Organisation and Public Policy Discussion Papers Series 065, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
    6. C. Kirabo Jackson & Alexey Makarin, 2016. "Can Online Off-The-Shelf Lessons Improve Student Outcomes? Evidence from A Field Experiment," NBER Working Papers 22398, National Bureau of Economic Research, Inc.
    7. Thomas S. Dee & James Wyckoff, 2015. "Incentives, Selection, and Teacher Performance: Evidence from IMPACT," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 34(2), pages 267-297, March.
    8. Cullen Julie Berry & Cory Koedel & Eric Parsons, 2016. "The Compositional Effect of Rigorous Teacher Evaluation on Workforce Quality," CESifo Working Paper Series 6185, CESifo Group Munich.
    9. Taylor, Eric, 2014. "Spending more of the school day in math class: Evidence from a regression discontinuity in middle school," Journal of Public Economics, Elsevier, vol. 117(C), pages 162-181.
    10. repec:rsr:supplm:v:65:y:2017:i:4:p:168-197 is not listed on IDEAS
    11. Melinda Adnot & Thomas Dee & Veronica Katz & James Wyckoff, 2016. "Teacher Turnover, Teacher Quality, and Student Achievement in DCPS," NBER Working Papers 21922, National Bureau of Economic Research, Inc.
    12. Koedel, Cory & Mihaly, Kata & Rockoff, Jonah E., 2015. "Value-added modeling: A review," Economics of Education Review, Elsevier, vol. 47(C), pages 180-195.
    13. Cory Koedel & Jiaxi Li & Matthew G. Springer & Li Tan, 2016. "The Impact of Performance Ratings on Job Satisfaction for Public School Teachers," Working Papers 1617, Department of Economics, University of Missouri.
    14. Alexis Le Chapelain, 2014. "Market for Education and Student Achievement," Sciences Po publications info:hdl:2441/1jgbspo1909, Sciences Po.
    15. Brian Jacob & Jonah E. Rockoff & Eric S. Taylor & Benjamin Lindy & Rachel Rosen, 2016. "Teacher Applicant Hiring and Teacher Performance: Evidence from DC Public Schools," NBER Working Papers 22054, National Bureau of Economic Research, Inc.

    More about this item

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods

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