Gazmuri, Ana
(2017)
School Segregation in the Presence of Student Sorting and Cream-Skimming: Evidence from a School Voucher Reform.
, Toulouse
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Abstract
Critics of school choice argue that when private schools compete with public schools, they select the best public school students (cream-skim), increasing socioeconomic segregation. I study the mechanisms that underlie student sorting in a mixed public-private system using a 2008 education reform implemented in Chile aimed at decreasing education inequality. Specifically, I exploit the shock to schools' incentives to test for whether schools select students based on socioeconomic characteristics. I show that low-SES parents' school choices are restricted by private school cream-skimming behavior. I estimate a demand model incorporating these admissions restrictions to capture parents' preferences for different school characteristics and peer composition. I show that ignoring cream-skimming leads to underestimating poor parents' preferences for school quality. My model shows that heterogeneous parental preferences for high-SES peers seem to be the main driver behind socioeconomic segregation. I find that the decrease in cream-skimming induced by Chile's reform led to lower public school enrollment, and that strong preferences for high-SES peers drove increased enrollment in schools that opted out of the reform. Overall, this led to increased segregation, especially in more competitive markets.
Item Type: | Monograph (Working Paper) |
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Sub-title: | Evidence from a School Voucher Reform |
Language: | English |
Date: | September 2017 |
Place of Publication: | Toulouse |
Subjects: | B- ECONOMIE ET FINANCE |
Divisions: | TSE-R (Toulouse) |
Institution: | Université Toulouse 1 Capitole |
Site: | UT1 |
Date Deposited: | 17 Apr 2018 08:15 |
Last Modified: | 27 Oct 2021 13:37 |
OAI Identifier: | oai:tse-fr.eu:32147 |
URI: | https://publications.ut-capitole.fr/id/eprint/25723 |