Bobba, Matteo, Ederer, Tim, Leon-Ciliotta, Gianmarco, Neilson, Christopher and Nieddu, Marco (2022) Teacher Compensation and Structural Inequality: Evidence from Centralized Teacher School Choice in Peru. TSE Working Paper, n. 21-1232, Toulouse

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Abstract

This paper studies how increasing teacher compensation at hard-to-staff schools can reduce inequality in access to qualified teachers. Leveraging an unconditional change in the teacher compensation structure in Peru, we first show causal evidence that increasing salaries at less desirable locations attracts better quality applicants and improves student test scores. We then estimate a model of teacher preferences over local amenities, school characteristics, and wages using geocoded job postings and rich application data from the nationwide centralized teacher assignment system. Our estimated model suggests that the current policy is both ineficient and not large enough to effectively undo the inequality of initial conditions that hard-to-staff schools and their communities face. Counterfactual analyses that incorporate equilibrium sorting effects characterize alternative wage schedules and quantify the cost of reducing structural inequality in the allocation of teacher talent across schools.

Item Type: Monograph (Working Paper)
Language: English
Date: March 2022
Place of Publication: Toulouse
Uncontrolled Keywords: Inequality, Teacher School Choice, Teacher Wages, Matching with Contracts
JEL Classification: C93 - Field Experiments
I21 - Analysis of Education
J31 - Wage Level and Structure; Wage Differentials by Skill, Training, Occupation, etc.
J45 - Public Sector Labor Markets
O15 - Human Resources; Human Development; Income Distribution; Migration
Subjects: B- ECONOMIE ET FINANCE
Divisions: TSE-R (Toulouse)
Institution: Université Toulouse 1 Capitole
Site: UT1
Date Deposited: 20 Jul 2021 11:47
Last Modified: 06 Apr 2022 09:33
OAI Identifier: oai:tse-fr.eu:125785
URI: https://publications.ut-capitole.fr/id/eprint/43692
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