Performance based incentives in education: an impact evaluation in state run schools of São Paulo

Details

Supervisors

Guirkinger, Catherine

Faculty

Faculté des sciences économiques, sociales, politiques et de communication

Degree label

Master [120] en sciences économiques, orientation générale

Abstract

The study evaluates the impact of a performance based incentive program implemented in state run schools in São Paulo, Brazil. The program was implemented in 2008 and distributed bonuses to teachers and employees that reached certain targets linked to students test scores in math and Portuguese. The design of the incentive also assigned more weight to improvements made by the worst performing students. We employ difference in differences estimation with propensity score matching to estimate average treatment effects on the treated for the following outcomes for 2009 and 2011: (i) average test scores, (ii) coefficient of variation of test scores, (iii) share of students performing below the basic and at or below the basic threshold established by educational guidelines. The results indicate that the program was only effective on raising student’s test scores for the 5th grade in 2009. For the 9th grade in both years and the 5th in 2011 the results indicate that the intervention was ineffective at best. When looking to the impact on the share of low performing students, it seems that the program was successful in decreasing the share of low achievers in 2009 in both the 9th and 5th grades. As an example, the results suggest that the program contributed to a decrease in the share of those performing below basic of around 4 and 2 percentage points in math and Portuguese, respectively. In 2011 the estimations are less conclusive.