nep-edu New Economics Papers
on Education
Issue of 2015‒03‒13
23 papers chosen by
João Carlos Correia Leitão
Universidade da Beira Interior

  1. Teaching Styles and achievement: Student and Teacher Perspectives By Hidalgo-Cabrillana, Ana; Lopez-Mayan, Cristina
  2. The Impact of a One Laptop per Child Program on Learning: Evidence from Uruguay By de Melo Gioia; Machado Alina; Miranda Alfonso
  3. A Field Study on University Enrolment: The Intentions of Prospective Students By Martina Menon; Federico Perali
  4. Does sector-specific experience matter? The case of European higher education ministers. By Julien Jacqmin; Mathieu Lefebvre
  5. Do class size effects differ across grades? By Anne Brink Nandrup
  6. Financial education, literacy and investment attitudes By Brugiavini, Agar; Cavapozzi, Danilo; Padula, Mario; Pettinicchi, Yuri
  7. Impact of public funding of education on economic growth in Macedonia By Bexheti, Abdylmenaf; Mustafi, Besime
  8. Socio-Economic Factors for Reading Performance in Pirls: Income Inequality and Segregation by Achievements By Tamara I. Petrova; Daniel A. Alexandrov
  9. Separating State Dependence, Experience, and Heterogeneity in a Model of Youth Crime and Education By Maria Antonella Mancino; Salvador Navarro; David A. Rivers
  10. What Lies Behind Gender Inequality in Education? By OECD
  11. Impact of education on inequality across the wage distribution profile in Cameroon: 2005-10 By Baye, Francis Menjo
  12. Opening remarks at the Convening on Student Loan Data Conference By Dudley, William
  13. It's Not All About Parents' Education, It Also Matters What They Do: Parents' Employment and Children's School Success in Germany By Christina Boll; Malte Hoffmann
  14. Returns to Education and Experience in Criminal Organizations: Evidence from the Italian-American Mafia By Nadia Campaniello; Rowena Gray; Giovanni Mastrobouni
  15. Student Loans and Repayment: Theory, Evidence and Policy By Lance Lochner; Alexander Monge-Naranjo
  16. University Prestige, Performance Evaluation, and Promotion: Estimating the employer learning model using personnel datasets By ARAKI Shota; KAWAGUCHI Daiji; ONOZUKA Yuki
  17. The Labor Market Effects of Skillbiased Technological Change in Malaysia By Marouani, Mohamed Ali; Nilsson, Björn
  18. Determinants of Academic Startup's Orientation toward International Business Expansion By SUZUKI, Shinya; OKAMURO, Hiroyuki
  19. Structural Estimation of a Model of School Choices: the Boston Mechanism vs. Its Alternatives By Caterina Calsamiglia; Chao Fu; Maia Güell
  20. Intergovernmental transfers and public spending in Brazilian municipalities By ARVATE, PAULO; MATTOS, Enlinson; ROCHA, Fabiana
  21. The Illusion of School Choice: Empirical Evidence from Barcelona By Caterina Calsamiglia; Maia Güell
  22. Why are Higher Skilled Workers More Mobile Geographically? The Role of the Job Surplus By Michael Amior
  23. As my parents at home? Gender differences in childrens’ housework between Germany and Spain By Giménez-Nadal, J. Ignacio; Molina, Jose Alberto; Ortega, Raquel

  1. By: Hidalgo-Cabrillana, Ana (Departamento de Análisis Económico (Teoría e Historia Económica). Universidad Autónoma de Madrid.); Lopez-Mayan, Cristina (Departamento de Economía Aplicada. Universidad Autónoma de Barcelona)
    Abstract: Using data from a Spanish assessment program of fourth-grade pupils, we analyze to what extent using certain teaching practices and materials in class is related to achievement in maths and reading. We distinguish using traditional and modern teaching styles. As a novelty, we measure in-class work using two different sources of information -teacher and students. Our identification strategy relies on between-class within-school variation of teaching styles. We find that modern practices are related to better achievement, specially in reading, while traditional practices, if anything, are detrimental. There are differences depending on the source of information: the magnitude of coefficients is larger when practices are reported by students. These findings are robust to considering alternative definitions of teaching practices. We obtain heterogeneous effects of teaching styles by gender and type of school but only when using students' answers. Our findings highlight the importance of the source of information, teacher or students, to draw adequate conclusions about the effect of teaching style on achievement.
    Keywords: Students and teacher reports; Test scores; Teacher quality; Modern and traditional teaching.
    JEL: I20 I21 J24
    Date: 2015–02
  2. By: de Melo Gioia; Machado Alina; Miranda Alfonso
    Abstract: We present evidence on the impact on students' math and reading scores of one of the largest deployments of an OLPC program and the only one implemented at a national scale: Plan Ceibal in Uruguay. We have unique data that allow us to know the exact date of laptop delivery for every student in the sample. This gives us the ability to use days of exposure as a treatment intensity measure. Given that there is some variation in the date of laptop delivery across individuals within the same school, we can identify the effect of the program net of potential heterogeneity in the rate schools gain improvements on students' achievement over time independently of the OLPC program. Our results suggest that in the first two years of its implementation the program had no effects on math and reading scores. The absence of effect could be explained by the fact that the program did not involve compulsory teacher training and that laptops in class were mainly used to search for information on the internet.
    Keywords: technology, education, impact evaluation.
    JEL: I21 I28
    Date: 2014–10
  3. By: Martina Menon (Department of Economics (University of Verona)); Federico Perali (Department of Economics (University of Verona))
    Abstract: We study the university choice of prospective students using a unique dataset enriched with “lab-in-the-field” experiments aimed at eliciting risk and time preferences of students. Controlling for assortative mating, we find that father's rather than mother's education is significantly associated with the likelihood of children's enrolment in university indicating that the intergenerational transmission of human capital is mainly channelled through the father's education. Family possessions, as measured by homeownership, are positively associated with the likelihood of children's enrolment, while parental income has a small impact on this choice. This result suggests that in our sample there is equal access to university irrespective of short-time family liquidity constraints. We also find that economic preference parameters, such as risk and time preferences, account for a small part of the prospect of enrolling in university, while subjective expectations, effort and school ability of children are strong predictors of future schooling investment. In addition, through a counterfactual analysis, sports activities among children appear to increase the university enrolment rate. Our findings provide helpful directions for decision-makers to attract talented students to tertiary education.
    Keywords: University enrolment, intentions data, family background, subjective expectations, cognitive and non-cognitive abilities, counterfactual analysis
    JEL: I21 I28
    Date: 2015–02
  4. By: Julien Jacqmin; Mathieu Lefebvre
    Abstract: This paper looks at the relationship between higher education ministers and the performance of the sector that they govern. Using an original panel dataset with the characteristics of European higher education ministers, we find that having a past experience in the sector leads to a higher level of performance, as measured by ranking data. Making a parallel with the literature about the impact of education on the educated, we discuss potential explanations behind the impact of this on-the-job learning experience. As we find that this characteristic has no impact on the spendings of the sector, we argue that this academic experience makes them more prone to introduce adequate reforms. Furthermore, we find that this result is driven by ministers with both this sector-specific and an electoral experience, the latter measured by a succesful election at the regional or national level. This tends to show that political credibility should not be overshadowed by the importance of the sector-specific experience of ministers.
    Keywords: Research performance, Higher education minister, leadership, Political economy.
    JEL: D7 H11 I23
    Date: 2015
  5. By: Anne Brink Nandrup (Department of Economics and Business, Aarhus University, Denmark)
    Abstract: This paper contributes to the class size literature by analyzing whether short-run class size effects are constant across grade levels in compulsory school. Results are based on administrative data on all pupils enroled in Danish public schools. Identification is based on a government-imposed class size cap that creates exogenous variation in class sizes. Significant (albeit modest) negative effects of class size increases are found for children on primary school levels. The effects on math abilities are statistically different across primary and secondary school. Larger classes do not affect girls, non-Western immigrants and socioeconomically disadvantaged pupils more adversely than other pupils.
    Keywords: Class size, regression discontinuity, compulsory schooling, literacy, test scores
    JEL: I21 I28 C31
    Date: 2015–02–23
  6. By: Brugiavini, Agar; Cavapozzi, Danilo; Padula, Mario; Pettinicchi, Yuri
    Abstract: Based on a sample of university students, we provide field and laboratory evidence that a small scale training intervention has a both statistically and economically significant effect on subjective and objective assessments of financial knowledge. We also show that for a large part of students whose self-assessed financial knowledge has improved we do not find an increase in their actual skills.
    Keywords: Financial education,Financial literacy,Planning,Investment attitudes
    JEL: D14 G11 I20
    Date: 2015
  7. By: Bexheti, Abdylmenaf; Mustafi, Besime
    Abstract: The main aim of this study is to investigate the relationship between public spending on education after the process of decentralization and economic growth in Macedonia as low income state. This paper do not have intention to make a picture of education system in Macedonia, how it functions or if education is open to all, but has the aim to measure the public spending on education as a determinant that has impact on economic growth even positive or negative. This paper raise the following important question: 'do all measures of public spending on education promote economic growth?' As a lack of data in developing countries like is Macedonia the specification of empirical models to test the causal effect on public spending on education and growth is paradox and this explain why the road through which public education expenditure affects economic growth is not yet well understood. The inter-relationships between government expenditure and education quality should be taken into account when formulating education policy to promote economic growth (Corray, 2000). The channels by which education can promote growth maybe do not lie to quantity of public spending but on quality of the policy that means where youth end after their education. We investigate the link between public spending on education and economic growth in Macedonia using Logarithmic Multiple Regression Model. We came in conclusion that the model is significant. The result shows negative effect on public spending on education and economic growth in the case of Macedonia. The results also raise another statement 'what exactly are the highly educated workers doing together (that is so sensitive to their being highly educated) if it does not involve things changing at the margin?' (Aghion, 2009). It ends with some key conclusions and recommendations that there has to be founded another channels to produce quality education - skilled labor by which will rise the productivity and economic growth.
    Keywords: public expenditures,education,economic growth,real GDP,public investment,skilled labor
    Date: 2015
  8. By: Tamara I. Petrova (National Research University Higher School of Economics.); Daniel A. Alexandrov (National Research University Higher School of Economics.)
    Abstract: This study examines the relationship between family and school characteristics, and student reading performance; and how these vary across countries with different levels of economic inequality and stratification. Economic inequality is measured with the Gini index and stratification by the distribution of students by reading achievements. Reading tests and questionnaire responses of 190,456 fourth-graders, their parents and 6,987 school administrators in 41 countries were analysed using multilevel analyses. Students with lack of early home literacy activities have better test scores in schools with higher average socioeconomic status (SES), and reading scores in countries with a high level of economic inequality. The higher the stratification level, the better student reading achievements, despite the stratification measure indicating the inequality of their distribution among schools
    Keywords: educational achievements, inequality, peer effects, PIRLS, school resources, segregation, socio-economic status
    JEL: I24
    Date: 2015
  9. By: Maria Antonella Mancino (University of Western Ontario); Salvador Navarro (University of Western Ontario); David A. Rivers (University of Western Ontario)
    Abstract: We study the determinants of youth crime using a dynamic discrete choice model of crime and education. We allow past education and criminal activities to affect current crime and educational decisions. We take advantage of a rich panel dataset on serious juvenile offenders, the Pathways to Desistance. Using a series of psychometric tests, we estimate a model of cognitive and social/ emotional skills that feeds into the crime and education model. This allows us to separately identify the roles of state dependence, returns to experience, and heterogeneity in driving crime and enrollment decisions among youth. We find small effects of experience and stronger evidence of state dependence for crime and schooling. We provide evidence that, as a consequence, policies that affect individual heterogeneity (like social/emotional skills), and those that temporarily keep youth away from crime, can have important and lasting effects even if criminal experience has already accumulated.
    Keywords: Crime; Education; Youth
    JEL: I21 K42
    Date: 2015
  10. By: OECD
    Abstract: <ul> <li> While PISA reveals large gender differences in reading, in favour of 15-year-old girls, the gap is narrower when digital reading skills are tested. Indeed, the Survey of Adult Skills suggests that there are no significant gender differences in digital literacy proficiency among 16-29 year-olds. </li> <li> Boys are more likely to underachieve when they attend schools with a large proportion of socio‑economically disadvantaged students. </li> <li> Girls – even high-achieving girls – tend to underachieve compared to boys when they are asked to think like scientists, such as when they are asked to formulate situations mathematically or interpret phenomena scientifically. </li> <li> Parents are more likely to expect their sons, rather than their daughters, to work in a science, technology, engineering or mathematics field – even when their 15-year-old boys and girls perform at the same level in mathematics. </li></ul>
    Date: 2015–03
  11. By: Baye, Francis Menjo
    Abstract: This paper evaluates the impact of education on measured inequality across the wage distribution using pooled records from the 2005 and 2010 Cameroon labour force surveys, wage equations and standard inequality measures. Returns to education increased mon
    Keywords: Cameroon, education, inequality, wages, distribution
    Date: 2015
  12. By: Dudley, William (Federal Reserve Bank of New York)
    Abstract: Remarks at the Convening on Student Loan Data Conference, Federal Reserve Bank of New York, New York City.
    Keywords: student debt; delinquency; default; student loans; college degree; education finance
    JEL: I22
    Date: 2015–03–04
  13. By: Christina Boll; Malte Hoffmann
    Abstract: In this paper, we use SOEP data to explore whether parents’ employment has an extra effect on the school achievement of their children, beyond the well‐established effects of education, income and demography. First, we test whether the source of income or parents’ unemployment determine children’s school achievements. Second, we analyze the effect of job prestige and factors of societal engagement on children’s performance. Our results indicate no clear income associations but the existence of an employment channel as well as a social channel from mothers to their kids. A negative role model for girls is found for maternal housework. Moreover, the fathers’ job prestige is substantial.
    Date: 2015
  14. By: Nadia Campaniello; Rowena Gray; Giovanni Mastrobouni
    Abstract: Is there any return to education in criminal activities? This is the first paper that investigates whether education has not only a positive impact on legitimate, but also on illegitimate activities. We use as a case study one of the longest running criminal corporations in history: the Italian-American mafia. Its most successful members have been capable businessmen, orchestrating crimes that require abilities that might be learned at school: extracting the optimal rent when setting up a racket, weighting interests against default risk when starting a loan sharking business or organising supply chains, logistics and distribution when setting up a drug dealing system. We address this question by comparing mobsters with their closest (non-mobster) neighbors using United States Census data in 1940. We document that mobsters have one year less education than their neighbors on average. None of the specifications presented identified any significant difference in the returns to education between these two groups. Private returns to education exist also in the illegal activities characterised by a certain degree of complexity as in the case of organized crime in mid-twentieth century United States.
    Date: 2015–02–18
  15. By: Lance Lochner (Department of Economics, University of Western Ontario, Canada; NBER, U.S.A; CESifo, Germany; The Rimini Centre for Economic Analysis, Italy); Alexander Monge-Naranjo (Federal Reserve Bank of St. Louis, U.S.A.; Washington University in St. Louis, U.S.A.)
    Abstract: Rising costs of and returns to college have led to sizeable increases in the demand for student loans in many countries. In the U.S., student loan default rates have also risen for recent cohorts as labor market uncertainty and debt levels have increased. We discuss these trends as well as recent evidence on the extent to which students are able to obtain enough credit for college and the extent to which they are able to repay their student debts after. We then discuss optimal student credit arrangements that balance three important objectives: (i) providing credit for students to access college and finance consumption while in school, (ii) providing insurance against uncertain adverse schooling or post-school labor market outcomes in the form of income-contingent repayments, and (iii) providing incentives for student borrowers to honor their loan obligations (in expectation) when information and commitment frictions are present. Specifically, we develop a two-period educational investment model with uncertainty and show how student loan contracts can be designed to optimally address incentive problems related to moral hazard, costly income verification, and limited commitment by the borrower. We also survey other research related to the optimal design of student loan contracts in imperfect markets. Finally, we provide practical policy guidance for re-designing student loan programs to more efficiently provide insurance while addressing information and commitment frictions in the market.
    Date: 2015–03
  16. By: ARAKI Shota; KAWAGUCHI Daiji; ONOZUKA Yuki
    Abstract: The employer learning model postulates that employers form employees' prior ability distribution from educational credentials and update its distribution by observing workers' performance on the job. This paper estimates the employer learning model for university-graduate white-collar workers using personnel datasets from two large manufacturers that contain rich information, including the name of the university from which the worker graduated, annual performance evaluations, and position in the promotion ladder. The estimates indicate that employers learn workers' ability relatively quickly through observing their performance on the job. The initial expectation errors on ability decline by a half in about three to four years in the two companies. Companies promote graduates of elite schools quickly mainly because they tend to perform better on the job.
    Date: 2015–03
  17. By: Marouani, Mohamed Ali; Nilsson, Björn
    Abstract: During the last half-century, the evolution of educational attainment among Malaysians has been spectacular, and current enrollment rates suggest this progression will continue, albeit at a slower pace. Such a transformation of the educational attainment of labor should bring about macroeconomic effects such as wage compression, sectoral shifts and/or high skill un- employment, unless compensatory mechanisms exist. This article examines the impact of this evolution using a dynamic general equilibrium model applied to Malaysia. We argue that skill biased technological change occurred in Malaysia in recent years, and permitted unemployment figures to remain low and skill premia not to sink, despite the shift in skill structure. We run a retrospective simulation, looking at how unemployment and wages would have reacted had skill biased technological change not been prevalent. We also simulate the effects of a restriction in the supply of education to understand the impact of recent educational policy in Malaysia. The results are fed to a microdata set using a microaccounting technique, addressing distributional concerns. Our results show that the reduction in wage inequalities could have been substan- tially more important had skill biased technological change not been present. Furthermore, they suggest that the open-door higher education policy has contributed heavily to a reduction in wage inequalities
    Keywords: Skills acquisition; CGE; Education and the Labor Market; Technological change; Acquisition de compétences; EGC; Education et marché du travail; progrès technique;
    JEL: E17 O53 I28 E24 H52 O30
    Date: 2014–12
  18. By: SUZUKI, Shinya; OKAMURO, Hiroyuki
    Abstract: This study explores the determinants of orientation toward international business expansion by academic startups, focusing on their technological capabilities, availability of public support, regional characteristics of their location, and research standards of their parent universities. Based on unique survey data of 457 academic startups in Japan and by estimating an ordered logit model, we find that academic startups are strongly oriented toward expanding its business internationally if they have high technological capabilities, received public support, are established in locations with a high ratio of exporting small firms, or are affiliated with a parent university with an excellent level of research.
    Keywords: Academic startups, international business expansion, public support
    Date: 2015–03
  19. By: Caterina Calsamiglia; Chao Fu; Maia Güell
    Abstract: An important debate centers on what procedure should be used to allocate students across public schools. We contribute to this debate by developing and estimating a model of school choices by households under one of the most popular procedures known as the Boston mechanism (BM). We recover the joint distribution of household preferences and sophistication types using administrative data from Barcelona. Our counterfactual policy analyses show that a change from BM to the Gale-Shapley student deferred acceptance mechanism would create more losers than winners, while a change from BM to the top trading cycles mechanism has the opposite effect.
    Keywords: school choice, Boston mechanism, Gale-Shapley mechanism, Top Trading Cycles mechanism, priorities
    JEL: C78 I24 D63
    Date: 2014–10
  20. By: ARVATE, PAULO; MATTOS, Enlinson; ROCHA, Fabiana
    Abstract: We estimate the effects of unconditional (full fiscal decentralization) versus conditional (partial fiscal decentralization) block grants on local public spending in Brazilian municipalities. Our results suggest that the effect of unconditional and conditional transfers do not differ statistically. Their combination promotes a full crowding-in effect on aggregate public spending — i.e., for $1 of unconditional and conditional grant receipts; we find $1 of additional local public expenditures, greater than the corresponding effect of local income, providing further evidence for the flypaper effect. Moreover, the effect of unconditional transfers on education (health) spending is smaller than the effect of conditional education (health) transfers but greater than the corresponding effect of local income. We consider four strategies to identify causal effects of federal grants and the local income on fiscal responses regarding Brazilian local governments: (i) a fuzzy regression discontinuity design, (ii) Redistributive rules of education funds, (iii) Oil and Gas production, and (iv) Rainfall deviations from the historical mean.
    Date: 2015–03–02
  21. By: Caterina Calsamiglia; Maia Güell
    Abstract: The Boston mechanism is a school allocation procedure that is widely used around the world. To resolve overdemands, priority is often given to families who live in the neighborhood school. We note that such priorities define some schools as being safer. We exploit an unexpected change in the definition of neighborhood in Barcelona to show that when allowing school choice under the BM with priorities: (1) the resulting allocation is not very different from a neighborhood-based assignment, and (2) important inequalities emerge beyond parents' naivete found in the literature.
    Keywords: school choice, Boston mechanism, priorities
    JEL: C78 D63 I24
    Date: 2014–07
  22. By: Michael Amior
    Abstract: The skill gap in geographical mobility is entirely driven by workers who report moving for a new job. A natural explanation lies in the large expected surplus accruing to skilled job matches. Just as large surpluses ease the frictions which impede job search in general, they also help overcome those frictions (specifically moving costs) which plague cross-city matching in particular. I reject the alternative hypothesis that mobility differences are driven by variation in the moving costs themselves, based on PSID evidence on self-reported willingness to move. Evidence on wage processes also supports my claims.
    Keywords: Internal migration, job search, education, skills
    JEL: J24 J61 J64
    Date: 2015–03
  23. By: Giménez-Nadal, J. Ignacio; Molina, Jose Alberto; Ortega, Raquel
    Abstract: This paper analyzes the relationship between parents’ time devoted to housework and the time devoted to housework by their children. Using data of Germany and Spain from the Multinational Time Use Study, we find positive correlations, but gender differences, between parents and children’s housework time, which indicates that the more time parents devote to housework the more time their children devote to housework. While in Germany both fathers and mothers’ housework is positively related with the time devoted to housework by the children, in Spain it is only father’s time in housework that is positively related to children’s housework time. Thus, we find a different relationship between parents and children’s housework time in Mediterranean countries compared to other European countries. We also obtain that these results are not applicable to all sub-groups of population, as our analysis considering the labor force status and education of the parents yield mixed results.
    Keywords: Housework, Children, Time Use
    JEL: J16 J22
    Date: 2015–03

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