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Improving School Accountability Measures

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  • Thomas J. Kane
  • Douglas O. Staiger

Abstract

A growing number of states are using annual school-level test scores as part of their school accountability systems. We highlight an under-appreciated weakness of that approach the imprecision of school-level test score means -- and propose a method for better discerning signal from noise in annual school report cards. For an elementary school of average size in North Carolina, we estimate that 28 percent of the variance in 5th grade reading scores is due to sampling variation and about 10 percent is due to other non-persistent sources. More troubling, we estimate that less than half of the variance in the mean gain in reading performance between 4th and 5th grade is due to persistent differences between schools. We use these estimates of the variance components in an empirical Bayes framework to generate filtered' predictions of school performance, which have much greater predictive value than the mean for a single year. We also identify evidence of within-school heterogeneity in classroom level gains, which suggests the importance of teacher effects.

Suggested Citation

  • Thomas J. Kane & Douglas O. Staiger, 2001. "Improving School Accountability Measures," NBER Working Papers 8156, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:8156
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    References listed on IDEAS

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    1. Hyslop, Dean R & Imbens, Guido W, 2001. "Bias from Classical and Other Forms of Measurement Error," Journal of Business & Economic Statistics, American Statistical Association, vol. 19(4), pages 475-481, October.
    2. Mark McClellan & Douglas Staiger, 1999. "The Quality of Health Care Providers," NBER Working Papers 7327, National Bureau of Economic Research, Inc.
    3. Chamberlain, Gary, 1984. "Panel data," Handbook of Econometrics,in: Z. Griliches† & M. D. Intriligator (ed.), Handbook of Econometrics, edition 1, volume 2, chapter 22, pages 1247-1318 Elsevier.
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    JEL classification:

    • I2 - Health, Education, and Welfare - - Education

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