Teacher Performance Incentives and Student Outcomes
Although merit pay systems have been established in many school districts across the United States, little empirical evidence exists concerning their influence on student achievement. This paper reviews that evidence and presents case study evidence from a county where one high school piloted a merit pay system to reward student retention while another comparable high school maintained a traditional compensation system. A difference-in-differences analysis implies that merit pay increased retention, had no effect on grade point averages, reduced average daily attendance rates, and increased the percentage of students who failed.
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|Note:||Appears in Journal of Human Resouorces 37(4): 913-927|
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- Hoxby, Caroline Minter, 1996. "How Teachers' Unions Affect Education Production," The Quarterly Journal of Economics, MIT Press, vol. 111(3), pages 671-718, August.
- Eberts, Randall W & Stone, Joe A, 1991.
"Unionization and Cost of Production: Compensation, Productivity, and Factor-Use Effects,"
Journal of Labor Economics,
University of Chicago Press, vol. 9(2), pages 171-85, April.
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- Canice Prendergast, 1999. "The Provision of Incentives in Firms," Journal of Economic Literature, American Economic Association, vol. 37(1), pages 7-63, March.
- Eberts, Randall W & Stone, Joe A, 1986. "Teacher Unions and the Cost of Public Education," Economic Inquiry, Western Economic Association International, vol. 24(4), pages 631-43, October.
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