Charter School Entry in Market Equilibrium: The Case of Washington, DC
We develop and estimate a structural model of charter school entry. In this model, charter schools offer an alternative to neighborhood public schools. In the model’s first stage, the potential entrant chooses his/her physical location and characteristics based on the perceived opportunities not exploited by conventional public schools. In the second stage, students choose among the available schools. We estimate the model using data for the DC school district. We use our parameter estimates to investigate the potential effects of changes in charter school legislation on charter school entry, and on post-entry outcomes such as enrollment and achievement.
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