ECONOMICS OF EDUCATION
ECONOMICS 4250
OUTLINE OF NOTES
DAVID B. MUSTARD

Economics 4250H Homepage
-------------------------------------------------------- Tue. 1/7
Administration
    1.  Syllabus

    2.  Personal Introduction
        a. Education-Why Economics?
        b. Research
        c. Family
        d. Background/Interests
        e. Request

    3.  Classroom Dynamics
        a. I will ask you many questions in class.
        b. Reading:
Students are expected to come to class ready to discuss the day’s reading. Participation is an essential component of the course.
        c. Students' Substantive Questions. Never hesitate to ask substantive questions about the material - either in class or during office hours. At the beginning of each class I will try to ask whether anyone has questions about the material from previous lectures or from the reading.
    4. How to do well--repetitions over time
        a. Come to class
        b. Do reading as it is being covered in class
        c. Learn tools of economics - graphs, words and equations
        d. Use my class outlines on web site
        e. Talk to me before, rather than after exams
    5. Class Website
    6. Roll
    7. Research opportunities
    8. UGA vLab
    9. Quiz


------------------------------------------------------- Thur. 1/9

1. Introduction to Economics

   
Required Reading Becker, Gary S. "Nobel Lecture: The Economic Way of Looking at Life," The Journal of Political Economy, Vol. 101, Issue 3 (June 1993): 383-409. Just read Section I (Introduction).
    Jessica E. Vascellaro, "The Hot Major for Undergrads is Economics." Wall Street Journal, Tues. July 5, 2005.

A.  What is economics?
    1. Misconception
    2. Definition
    3. Principle/Theory
    4. Goal

B. What does economics provide for the study of education policy?
    1. Theory--people respond to incentives
    2. Understanding financial implications
    3. Implications of market structure
    4. Evaluation of statistical evidence--See Section 2C below

C. Discsussion of Becker article

2. What Does Schooling Do?
   Introductory Questions

    A. Human Capital
      Required Reading
      Becker, Gary S. "Nobel Lecture: The Economic Way of Looking at Life," The Journal of Political Economy, Vol. 101, Issue 3 (June 1993): 383-409. Just read Section IV (Human Capital).

      Brooks, David. 2008. "The Biggest Issue" The New York Times, July 29.
        1. Determinants of US Economic Growth over the long-term
        2. Trends in growth of skilled labor
            a. 1890-1970
            b. Since 1970
        3. What explains the change in growth of skilled labor?
        4. Graphs of changes over time
------------------------------------------------------ Tue. 1/14
        5. Definition of HC
        6. History/Development of HC
            Journal of Human Capital

        7. How and where do you invest in HC?
        8. Types of HC
        9. What other factors influence HC investment decisions?
        10. Applications/Examples

   B. Signaling
      Required Reading Andrew Weiss, “Human Capital vs. Signalling [sic] Explanations of Wages,” The Journal of Economic Perspectives, Vol. 9, Issue 4 (Autumn, 1995): 133-154.
        1. Definition
        2. Differences between signaling and HC
---------------------------------------------------- Thur. 1/16
        3. Evidence for signaling
        4. What are the policy implications of
signaling?      


   C. Non-Pecuniary Benefits and Social Externalities.
      Required Reading Robert H. Haveman. and Barbara L. Wolfe, “Schooling and Economic Well-Being: The Role of Nonmarket EffectsJournal of Human Resources, Vol. 19, no. 3 (Summer 1984): 377-407. Concentrate on Section I. Can skim Section II.
        1. Why do we subsidize education?
        2. Market failures

            a. Externalities
            b. Public Goods
            c. Information Assymetries
            d. Non-Competitive behavior/Monopoly power-Table 1
---------------------------------------------------- Tue. 1/21
        3. Examples of non-marketed effects--see table

        4. Estimating the magnitude and significance of non-market effects


    D. Earnings and Rates of Return
      Required Reading Frank Levy and Richard J. Murnane, “US Earnings Levels and Earnings Inequality: A Review of Recent Trends and Proposed Explanations.” Journal of Economic Literature, Vol. 30, No. 3 (September 1992): 1333-1381 (JSTOR). Read all sections but just skim Sections IV C & D (can skip algebra parts).
        1. How is inequality measured?
        2. What are the long-term trends in earnings inequality?
               a. See slides on inequality (data from Panel Survey of Income Dynamics)
            b. Equality of Opportunity Project.

        3. Along what dimensions is inequality changing?
            a. Total
------------------------------------------------------- Thur. 1/23 
            b. Race
           
Optional Reading
               
1) Neal and Johnson. 1996. "The Role of Premarket Factors in Black-White Wage Differences", Journal of Political Economy, Vol. 104 (October): 869-895.
                2) Neal. 2004. "The Measured Black-White Wage Gap Among Women is Too Small", Journal of Political Economy, Vol. 112 (February): S1-S28.
                3) Chicago Workshop on Black-White Inequality 

            c. Gender
           
Optional Reading
           
    Konstantopoulos and Constant "Gender Differences Across the Earnings Distribution" IZA, Working Paper #1425.
            d. Ability/Skill/Education
            
Optional Reading
               
Juhn, Chinhui, Kevin M. Murphy, and Brooks Pierce. 1993. Wage Inequality and the Rise in the Returns to Skill,Journal of Political Economy, vol. 101, no. 3 (June), 410-442.
      
         Rosen, Sherwin. The Economics of Superstars, American Economic Review, vol. 71, 845-858.
            e. Experience/Age
            f. Sector
            g. Summary:
Is there too much inequality? 

        5. What is responsible for the observed trends (shifts in S&D; institutions)?
            a. Education
            b. Compensating Differences and explaining differences in wage gaps.
            c. Ability
            d. Other factors
        6. To what extent
is there mobility and freedom of opportunity? Can people increase economic performance over time?
        7. Absolute vs. Relative comparisons. What is happening to those in poverty?
             How is poverty calculated?


3. Empirical Methods

    A. Identification: What does it mean to say that one variable causes an outcome?
        1. Experiments: think of treatment vs. control group
           
Examples: 1) Ed Labs Roland Fryer
                2) Bettinger, Eric P., Bridget Terry Long, Phillip Oreopoulos, and Lisa Sanbonmatsu. 2012. "The Role of Application Assistance and Information in College Decisions: Results from the H&R Block FAFSA Experiment." The Quarterly Journal of Economics. Vol. 127, No. 3: 1205-1242.

        2. Natural experiments
           
Example: HOPE Scholarship
---------------------------------------------------- Tue. Jan. 28
        3. Differences in Differences
           
Example: Cornwell, Christopher M. and David B. Mustard. 2005. "Student Responses to Merit Retention Rules." Journal of Human Resources, Vol. 40, No. 4: 895-917.
        4. Triple differences
     
      Required Viewing:  International Growth Centre. Video. 2012. "Moving Up a Gear: Can a Free Bike Help a Girl's Education in Northern India." Mar. 16
        5. Regression discontinuity:
            LATE (Local Average Treatment Effect)
        6. Matching
        7. Instrumental Variables
            Example: Anderberg, Dan and Yu Zhu. 2014. "What a Difference a Term Makes: The Effect of Educational Attainment on Marital Outcomes." Journal of Population Economics, Vol. 27: 387-419.
        8. Twins
            Example:  Ashenfelter, Orley and Alan Krueger. 1994. "Estimates of the Economic Return to Schooling from a New Sample of Twins." American Economic Review, Vol. 84, No. 5: 1157-1173.


    B. Regressions
        1. Hypothesis Testing
---------------------------------------------------- Thurs. Jan. 28
        No class: UGA cancelled classes due to weather
---------------------------------------------------- Tues. Feb. 4
        2. Regression techniques
            a. Ordinary Least Squares
            b. Logit/Probit
        3. Coefficient Estimates
        4. Standard Errors
        5. T-Statistics and Statistical Significance
        6. Examples
        7. These same methods are used for evaluating educational policy--effect of class size on student SAT scores, the effect of higher per pupil spending on likelihood of high school graduation, etc.
        8. Data problems/threats to causation
            a. Omitted variable bias
            b. S
election bias
            c. Survey  bias
            d. Endogeneity/Simultaneity
            e.
Small sample problems
            f. Measurement Error
        Example: political polling
 
---------------------------------------------------- Thurs. Feb. 6

4. Pre-K, Primary and Secondary Policy Making: Traditional Educational Reforms
    A. Overview: The Coleman Report and A Nation at Risk
        Required Reading
        National Commission on Excellence in Education, A Nation At Risk (Washington: Government Printing Office, 1983). You do not have to read the appendices. Focus on the following sections "Introduction," "A Nation At Risk," "Findings", and "Recommendations"
        Roland Fryer. "Roland Fryer on Education Reform." C-Span Video Library. Feb. 1, 2012. 

    Optional Reading
    U.S. Department of Education. 2008. "A Nation Accountable: Twenty-five Years After A Nation at Risk." April.
    Education Week, "A Nation at Risk: 25 Years Later."
    Rothstein, Richard. 2008. "A Nation at Risk Twenty-Five Years Later" Cato Unbound, April 7.
    Hess, Frederick M. 2008. "Still at Risk: What Students Dont' Know, Even Now." Washington, DC: Common Core. 

        1. Political and educational context of National Commission (1983)
           a. Civil Rights Act of 1964
           b. Coleman Report (1966)
           c. Subsequent Policy
        2. Commission's Sources
        3. Commission's Findings
        4. Commission's Recommendations

    B. The Market for Primary and Secondary Schooling
        Who are the players in the educational markets?
        1. Elementary and Secondary
        2. Higher Education

---------------------------------------------------- Tues. Feb. 11
    No class--weather
---------------------------------------------------- Thurs. Feb. 13
    No class--weather
---------------------------------------------------- Tues. Feb. 18

    C. Economists' View of Education
        1. Education production functions-Identfying the relationship between educational inputs and outputs.
        2.
Theory
        3.
Data--what are the relevant outcome variables?
        4. Results

    D. Increased Spending
    Required Reading
    Eric A. Hanushek. 2003. "The Failure of Input-Based Schooling Policies." The Economic Journal, Vol. 113 (February): F64-F98.
    Optional Reading
    Eric A. Hanushek. 1986. "The Economics of Schooling: Production and Efficiency in Public Schools." Journal of Economic Literature, Vol. 24, No. 3 (Sep): 1141-1177.
    Eric A. Hanushek. 1996. "Measuring Investment in Education." Journal of Economic Perspectives, Vol. 10, No. 4 (Autumn): 9-30.
        1. Educational output
            a) What are measures of output?
            b) What are the long-term trends in output measures?
            c) 
See slides-trends in scores  
        2. Educational costs
            a) What are the long-term trends in expenditures? 
            b) Differences in types of expenditures
            c) See
 slides-trends in funding
            d) Current data by state
            e) NEA 2012 Report
            f) National Center for Education Statistics
        3
. Aggregate data
            a) US

            b) International
            c) What can we infer from aggregate data?
        4. Econometric data
            a) What is the sample?
            b) What are the results?

        5. Differences in quality of studies
        6. Interpretation of these relationships
---------------------------------------------------- Thurs. Feb. 20

    E. Effect of Class Size on Student Outcomes
   
Required Reading
    Virginia Postrel, "Economic Scene: Smaller Classes Don't Necessarily Equal Better Education," New York Times, February 22, 2001.
    Caroline M. Hoxby. 2000. "The Effects of Class Size on Student Achievement: New Evidence from Population Variation." Quarterly Journal of Economics, Vol. 115 (Nov): 1239-1285. Read only Sections I, II, IV (Data), VII (Interpretation), and VIII (Conclusion).

   
Optional Reading
     Ludger Wößmann and Martin R. West, 2002. "Class-Size Effects in School Systems Around the World: Evidence from Between-Grade Variation in TIMSS"  Program on Educational Policy and Governance, Harvard University. Conclusion summarizes central results.
        1. Introduction
        2. What are the trends in changes in class-size?
        3. What are the results about how class size affects student performance?
        4. What problems exist in estimating the relationship between class size and student performance?
        5. How do we estimate the impact of the effect of class size on student performance?
        6. What are the necessary conditions for class size reductions to increase student performance

        7. What explains the empirical results on class size?
        8. What are the costs of class-size reductions?
        9. Examples of successful reform
        10. Tennessee's Student Teacher Achievement Ratio (STAR)
        11. Summary

---------------------------------------------------- Tue. 2/25

    F. How Important are Teachers?
    Required Reading--JUST THE INTRODUCTIONS OF THESE ARTICLES
    Clotfelter, Charles T., Helen F. Ladd and Jacob Vigdor. December 2005. "Who Teaches Whom? Race and the Distribution of Novice Teachers." Economics of Education Review. Vol. 24: 377-392.

    Optional Reading
    Rivkin, Steven G., Eric A. Hanushek, and John F. Kain. "Teachers, Schools, and Academic Achievement." Econometrica, Vol. 73, No. 2 (March, 2005), 417–458.

        1. Introduction
        2. What are the trends in teacher certification, education, and experience?
        3. What are the trends in student performance?
        4. How do we estimate the impact of teacher characteristics on student performance?
        5. What problems exist in estimating the relationship between teacher characteristics and student performance?
        6. Effects of Teacher Experience
        7. Effects of Teacher Education
            Required Master's degrees

       Required Reading: Golden, Daniel. 2003. "Quick Studies: Colleges Ease Way for Teachers to Get Advanced Degrees--With Higher Pay Automatic, Many Seek out Programs; Five Courses in Five Weeks--'I Want to Give you an A'" Wall Street Journal, (Sep. 22): page A1.
        Kukla-Acevedo, Sharon. 2009. "Do Teacher Characteristics Matter? New Results on the Effects of Teacher Preparation on Student Achievement." Economics of Education Review, Vol. 28: 49-57.
       Optional ReadingKersten, Katherine. 2009, "At U, Future Teachers May be Reeducated." StarTribune.com, Dec. 2.

        8. Effects of Teacher Certification
        
Required Reading: Angrist, Joshua D. and Jonathan Guryan. February 2005. "Does Teacher Testing Raise Teacher Quality? Evidence from State Certification Requirements." IZA (Institute for the Study of Labor) Discussion Paper No. 1500.
        Kleiner, Morris M. "Rule of Law: Our Guild-Ridden Economy." Wall St. Journal, October 15, 2005, p. A7.
        Optional Reading
        Goldhaber, Dan and Michael Hansen. 2009. "National Board Certification and Teachers' Career Paths: Does NBPTS Certification Influence How Long Teachers Remain in the Profession and Where They Teach." Education Finance and Policy, Vol. 4, No. 3 (Summer): 229-262. 
        Buddin, Richard. Gema Zamarro. 2009. "Teacher Effectiveness in Urban High Schools." Rand Working Paper (Aug.).
            a. Introduction
            b. History
            c. Different types of certification
                1) Georgia Professional Standards Commission
                2) Praxis
                3) National Board for Professional Teaching Standards
                4)
Mandatory vs. voluntary certification
            d. Objective--What is the theory behind certification and performance?
---------------------------------------------------- Tues. 3/4
            e. How do we test it?
            f. Data: 
Schools and Staffing Survey (SASS)
            g. Theory
                Analyze supply and demand
            h. Results
            i. Certification in other fields

        9. Effects of Teacher Quality/Abililty
       Required Reading:
        Kukla-Acevedo, Sharon. 2009. "Do Teacher Characteristics Matter? New Results on the Effects of Teacher Preparation on Student Achievement." Economics of Education Review, Vol. 28: 49-57.
            a. Teacher Fixed Effects
            b. Test scores
            c. Quality of college
            d. IQ


---------------------------------------------------- Thurs. 2/27
    Special Section: Pre-K: Investing Early: Guest Lecture by Christopher Cornwell. Discussion of Downtown Academy
       Required Reading
        Heckman, James. "The Case for Investing in Young Children." Big Ideas for Children: Investing in Our Nation's Future. 49-58.    
        1. Perry Pre-School Program.
---------------------------------------------------- Tues. 3/4
        2. Heckman Equation.
        3. Harlem's Children Zone.
        4. UGA's Social Explorer.
        5. Bruce Western Harvard's page.
        6. Whitehurst, Grover J. "Rus". 2014. "Does Pre-K Work? It Depends How Picky You Are." Brookings Institute. Feb. 26.
        7. Downtown Academy Slides.
        8. Acting White
            a. Fryer, Roland G. 2006 "Acting White: The Social Price Paid by the Best and Brightest Minority Students." Education Next. Winter. Vol. 6. No. 1. Sunopsis of research from Quarterly Journal of Economics.   
            b. Toldson, Ivory. 2013. "The Acting White Theory Does not Hold Up." The Black Institute. Feb. 5. Article links to research that argues the other side of the theory.
        9. What Works Clearinghouse.

---------------------------------------------------- Thurs. 3/6
        10. Effects of Teacher characteristics--race, gender, ethnicity
        Required Reading--JUST THE INTRODUCTIONS OF THESE ARTICLES
        Eric A. Hanushek, John F. Kain, Daniel M. O'Brien, and Steven G.Rivkin. 2005. "The Market for Teacher Quality." National Bureau of Economic Research Working Paper #11154. February.
         Thomas S. Dee. 2005. "A Teacher Like Me: Does Race, Ethnicity or Gender Matter?" American Economic Review, May.
      
Thomas S. Dee. 2004. "Teachers, Race, and Student Achievement in a Randomized Experiment." Review of Economics and Statistics, Vol. 86, No. 1: 195-210.

            a. Theory
            b. Existing patterns of teacher-student distribution
            c. Data

            d. How do the studies identify the effects? 
            e. Explanations

            f. Results

---------------------------------------------------- Tues. 3/18

        11. Effects of Teacher unionization
     
Required Reading:
          Hoxby, Caroline M. 1996. "How Teachers' Unions Affect Education Production." Quarterly Journal of Economics. Vol. 111, No. 3 (August): 671-718. Skip the appendix.
    
    Whitmire, Richard A. 2009. "How Teachers Unions Lost the Media." Wall St. Journal, October 9, 2009, p. W13.
        Brill, Steven. 2009. "The Rubber Room: The Battle over New York City's Worst Teachers." The New Yorker. Aug. 31. 
        "Race to the Top Teacher Unions: Friend or Foe?-Pt. 3", Learning Matters. March 25, 2010.

Optional Reading-can just look briefly at abstracts or conclusions
        Kingdon, Geeta and Francis Teal. 2008. "Teacher Unions, Teacher Pay and Student Performance in India: A Pupil Fixed Effects Approach." CESifo Working Paper #2428.    
        Moe, Terry M. 2009.
"Collective Bargaining and the Performance of Public Schools." American Journal of Political Science. Vol. 53, No. 1: 156-174.
        Figlio, David N. 2002.
"Can Public Schools Buy Better-Qualified Teachers?" Industrial and Labor Relations Review. Vol. 55, No. 4: 686-699.

            a. What is unionization? 
            b. Changes over time/History
            c. Differences across location: 
                1) States
                2) Nations
            d. Theory of influence on student outcomes
            e. Results 
---------------------------------------------------- Thurs. 3/20
            f. Views of
reforms
            g. Other effects--political donations
            
        Required Reading: "Teacher's Pets." Wall St. Journal, January 3, p. A24

        12. Effects of Teacher Salaries 
        Required Reading:
          Hoxby, Caroline M. and Andrew Leigh. 2005. "Wage Distortion." Education Next. Vol. 5, No. 2: Spring: 50-56.
        Tomsho, Robert. "
More Districts Pay Teachers for Performance." Wall St. Journal, March 23, p. B1. 
        Glaeser, Edward L. "
The Uncertain Impact of Merit Pay for Teachers." The New York Times, Economix Blog, June 8, 2010.

        Quote: "With respect to teachers' salaries, the major problem is not that they are too low on average--they may well be too high on the average--but that they are too uniform and rigid. Poor teachers are grossly overpaid adn good teachers grossly underpaid. Salary schedules tend to be uniform and determined far more by seniority, degrees received, and teaching certificates acquired than by merit." Milton Friedman, Capitalism and Freedom, 1962. 

        Optional Reading-can just look briefly at abstracts or conclusions
        Hoxby, Caroline M. and Andrew Leigh. 2004. "Pulled Away or Pushed Out? Explaining the Decline of Teacher Aptitude in the United States." American Economic Review, Vol. 94, No. 2 (May): 236-240. Also, more detailed National Bureau of Economic Research Working Paper:
        Lavy, Victor. 2009. "Performance Pay and Teachers' Effort, Productivity and Grading Ethics." American Economic Review, Vol. 99, NO. 5 (Dec).
        Leigh, Andrew and C. Ryan. 2008. "How and Why Has Teacher Quality Changed in Australia." Australian Economic Review. Vol. 41, No. 2 (June): 141-159.
        Buck
, Stuart and Jay P. Greene. 2010. "Blocking, Diluting, and Co-Opting Merit Pay." Program on Education Policy and Governance Working Paper Series. Presented at Harvard University Conference: "Merit Pay: Will It Work? Is It Politically Viable?"
        Hanushek, Eric A. 2010. "Economic Aspects of Improving Teaching Quality." Program on Education Policy and Governance Working Paper Series. Presented at Harvard University Conference: "Merit Pay: Will It Work? Is It Politically Viable?"
        Corcoran, Sean. "Teacher Salaries."

            a. General trends in teacher pay and variance of pay
---------------------------------------------------- Tues. 3/25
            b. Merit pay for teachers
            c. Union response
            d. Initial evidence
---------------------------------------------------- Thurs. 3/27
    MIDTERM
---------------------------------------------------- Tues. 4/1
     G. Equalization of School Funding
          1) School Funding Bi-annual Report Cards (2014)
     H
. Lessons from traditional reforms
          1) Why is it difficult to make educational reforms?

          2) What principles of reform can economists contribute to the evaluation of schooling?
          3) What is necessary for effective educational reform?
          4) Some possibilities for introducing reform

     I. Collapsing School Districts
      Required Reading:
        "Devastation in Detroit: Fighting Like Children ... Over Children in Detroit", Learning Matters. May 4, 2010.


5. Primary and Secondary Policy Making: Recent Educational Reforms
    A. Deregulation and Increasing Competition in School
        a. Montessori Schools
        b. Waldorf Schools
        c. Home Schooling
           1) National Center for Education Statistics (NCES)
               a) NCES. 2008. "1.5 million homeschool students in the United States in 2007."
Issues Brief, Dec.
               b) NCES. 2006. "Homeschooling in the United States: 2003." Statistical Analysis Report. Feb. 2.
               c) NCES. 2013. "Parent and Family Involvement in Education from the National Household Education Surveys. (Pages 17-18)"
               d) NCES. 1999-2007.
               e)
Race Gap: "More than 100,000 African American Parents are Now Homeschooling Their Children." and "Rise in Black Parents Homeschooling Children Produces Many Benefits."

          2) National Home Education Research Institute (NHERI)

    B. New organizations and initiatives
        1. New Orleans: Paul Vallas--rebuilding a school system after Katrina;
            New Orleans Charter School Trailer--video at bottom of article page
       
    a. Teach for America--Segment #10
            Information on most recent hires
            Learning Matters Video series on TFA
---------------------------------------------------- Thurs. 4/3
        2. Washington, DC: Michelle Rhee: new efforts
        Rhee, Michelle. 2008. "The Future of Urban Education Reform", Feb. 13.
        3. Single Gender schools and classrooms
            Schemo, Diana Jean. 2006. "Federal Rules Back Single-Sex Public Education." New York Times, Oct. 25. 
            Weil, Elizabeth. 2008.
"Teaching Boys and Girls Separately." New York Times, March 2. 
           
Medina, Jennifer. 2009. "Boys and Girls Together, Taught Separately in Public School." New York Times, March 10. 
            National Association for Single Sex Public Education (NASSPE)
        4. Bill and Melinda Gates Foundation

        5. Paying students for grades
            a. New York City--$1,000 for AP passing scores
            b. New York City Sparks Program (Fryer)
            c. Tucson, AZ: sophomores $100 per month for perfect attendance and a C-
            d. Coshocton, OH: gift certificates to local stores for passing state exams
            e. Roland Fryer: Education labs: new education initiative in many schools around the nation.
            f. Washington, DC: "Capital Gains" program in 15 middle schools. Cannot access money until age 18. Schools choose their own metrics. (Fryer)
            g. Texas: rewards for ACT and SAT scores (Kirabo Jackson)
            h. Chicago: 20 public high schools paying 5,000 freshmen. Evaluated every 5 weeks with declining payment for A, B, C. 
       6. Race to the Top--2009 federal initiative
       7. Reducing the size of schools.
       Tulenko, John D. "Small Schools: Big Reforms?" Learning Matters. Dec. 15, 2010.


    C. Charter Schools

       
Required Reading
            Nelson, F. Howard, Bella Rosenberg, Nancy Van Meter. August 2004. "Charter School Achievement on the 2003 National Assessment of Educational Progress." American Federation of Teachers. 
   
        Hoxby, Caroline M. "Achievement in Charter Schools and Regular Public Schools in the United States: Understanding the Differences." Harvard University and National Bureaue of Economic Research Working Paper, December 2004.
            Moore, Russ. "Charter School Expands Success Beyond College Prep." Georgia Public Policy Foundation, June, 17, 2005.

            State by state summaries (OR
            Drew Charter School--East Lake Foundation

           Optional Reading-can just look briefly at abstracts or conclusions
     Booker, Kevin, Scott M. Gilpatric, Timothy Gronberg, and Dennis Jansen. 2008. "The Effect of Charter Schools on Traditional Public School Students in Texas: Are Children Who Stay Behind Left Behind?Journal of Urban Economics, Vol. 64, No. 1 (July): 123-145.
            a. What is a charter?
            b. Who is eligible to start charters?
            c. What is the history/beginning of charters?
---------------------------------------------------- Tues. 4/8
    Daniel Waldroup--implementing merit based teacher pay systems

            d. Trends (number of charters and students)
                1) States
                2) IES Data
                3) Number of schools and students
            e. How do we measure the effects of charter schools?
            f. What theories explain the relationship between charter schools and student performance?

---------------------------------------------------- Thurs. 4/10
              g. What effects do charter schools have?

---------------------------------------------------- Tues. 4/15
    Data Project: Review Data and Code for PS #1
 ------------------------------------------------ Thurs 4/15
    C. School choice
    Required Reading
        Zimmer, Ron and Eric P. Bettinger. "Beyond the Rhetoric: Surveying the Evidence on Vouchers and Tax Credits."
    Optional Reading
        Greene, Jay. 2010. "The Case for Special Education Vouchers." Education Next. Vol. 10, No. 1 (Winter).
        National
School Boards Association. "The Case Against Private School Vouchers".
        NEA. "Case Against Vouchers."
        Alliance for School Choice. 2009. School Choice Yearbook 2008-2009. Washington, DC. 

        1. What are the criticims against school choice?
        2. What are the reasons for school choice?

    D. Vouchers for Primary and Secondary Education/Scholarship Tax Credits
            a. Definitions
                1) Vouchers for primay and secondary education.
                2) Scholarship tax credits
            b. Historical Context

            c. State laws
                1) Which states?
                2) Timing of adoption
                3) Political support
                4) Funding: Public vs. Private
                    a) San Antonio
                    b) Washington, DC
                    c) New York City
                    d) Children's Scholarship Fund
               5) Special Education
                    Florida (1999)
                    Ohio (2003)
                    Utah (2005)
                    Georgia (2007)
            d. Heterogeneity in programs
                1) What is the jurisdiction? (statewide v. specific cities)
                2) Which students are eligible? (schools, students, income)
                3) Where can students enrol? (Public vs. Private)
                4) Cap on # of studenst   
                5) What is the value of the voucher?
                6) What must receiving schools do?
            e. Internatioanl Experiences

            f. Constitutionality "Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof, or abridging the freedom of speech, or of the press; or the right of the people peacably to assemble, and to petition the Government for a redress of grievances."

         Optional Reading Michael McConnell, "School Vouchers," Slate, Tuesday, Dec. 8, 1998.
            Kathleen M. Sullivan, "School Vouchers," Slate, Friday, Dec. 18, 1998.
           Michael McConnell, "School Vouchers," Slate, Mon., Dec. 28, 1998.
            Kathleen M. Sullivan, "School Vouchers," Slate, Wed., Dec. 30, 1998.
           Michael McConnell, "School Vouchers," Slate, Wed., Jan. 13, 1999.
         Mitchell et al. vs. Holmes et al. .

         Zelman, et al. v. Simmons-Harris et al. - June 2002 Supreme Court decision on Cleveland voucher program

 ------------------------------------------------ Tues 4/22
           e. Measurement issues in evaluating vouchers
         Optional Reading
            Chakrabarti, Rajashri. 2008. "Can Increasing Private School Participation and Monetary Loss in a Voucher Program Affect Public School Performance? Evidence from Milwaukee." Journal of Public Economics, Vol. 92 (5-6): 1371-1393. (Skip Appendix: Theoretical Framework)
            Chingos, Matthew M. and Paul E. Peterson. 2012. "The Effects of School Vouchers on College Enrollment: Experimental Evidence from New York City." Aug. Brown Center on Education Policy at the Brookings Institution and Harvard University Kennedy School Program on Education Policy and Governance. 
            Peterson,
Paul E. 2000. "School Vouchers Raise African American Test Scores," October 9.
            National Education Association Response to Bush Plan, 2001. "Vouchers Ignore Bush's Chance to 'Unite' Rather Than 'Divide,'" Jan. 23.
           Optional Reading-can just look briefly at abstracts or conclusions
            Figlio, David. Northwestern University homepage.
                Florida Tax Credit Scholarship Program
            Hoxby, Carolyn. "School Choice and School Productivity (or, Could School Choice be a Tide the Lifts All Boats?)"

            Hoxby, Carolyn. "How School Choice Affects the Achievement of Public School Students"
            Havard's Program on Education Policy and Governance (in the Kennedy School of Public Affairs) Working papers -- there is an extensive series of evaluations of voucher programs throughout the nation
            Rouse, Cecilia Elena, Jane Hannaway, Dan Goldhaber, and David Figlio. 2007. "Feeling the Florida Heat? How Low-Performing Schools Respond to Voucher and Accountability Pressure." National of Bureau of Economics Research Working Paper #13681.

           f. Results of voucher/choice studies--see Tables
                1) On existing public schools
                   a) Outputs--Achievement
                   b) Inputs and Outupts--Productivity
                   c) Inputs

                2) On Voucher takers
                   a) Non-academic outcomes
                   b) Academic outcomes

            g. Summary of increasing school choice
        Required Reading
            Hoxby, Caroline. "How School Choice Affects the Achievement of Public School Students" Chapter 6.
------------------------------------------------ SKIP
    E. Educational Management Organizations (EMOs)/for profit institutions
        Required Reading: None
            a. EMOs Basics
                   1) Definition            
                2) Trends
            b. Reasons to Support EMOs

            c. Reasons to question EMOs
            d. Major Market Players
                1) Edison Learning, Inc. (formerly Edison Schools, Inc. and Edison Project)
                2) Imagine Schools (merged with Beacon Education Management in 2004, which was formerly Alternative Public Schools).

                3) Association of Education Practitioners and Providers
                4) The TesseracT Group (formerly Education Alternatives Inc.).
                5) Nobel Learning Communities, Inc.
            e. Evaluations of EMOs
                1) Cookson
                2) American Federation of Teachers
                3) Western Michigan

 
------------------------------------------------ Thurs 4/24

      F. High-stakes testing/ No Child Left Behind/Accountability
   Evaluations     Required Reading
        "Report Cards for GA Schools and Districts Released."
        "Point/Counterpoint." 2005. Journal of Policy Analysis and Managment. Vol. 24, Number 1 (Winter): 167-178.
        American Educational Research Association Statement on High-Stakes Testing

        International Reading Association Statement on High-Stakes Testing, August, 1999
        Neal, Derek A. and Diane Whitmore Schanzenbach. forthcoming. "Left Behind By Design: Proficiency Counts and Test-Based Accountability." The Review of Economics and Statistics, Note: can skip the equations.

        Optional Reading-can just look briefly at abstracts or conclusions
        No Child Left Behind page. Review the goals, objectives, etc. of the program. 
        Brian Jacob, "The Impact of High-Stakes Testing on Student Achievement: Evidence from Chicago."
        J. Catterall, "Standards and School Dropouts: A National Study of Tests Required for High School Graduation," American Journal of Education, Vol. 98 (November): 1-34.

        David Figlio and Maurice Lucas, "What's in a Grade? School Report Cards and House Prices," National Bureau of Economic Research Working Paper #8019.
        Stephen J. Dubner, "The Probability That a Real-Estate Agent Is Cheating You (and Other Riddles of Modern Life)," The New York Times, 3 August 2003,
Late Edition – Final.
        "Testing for Tracking, Promotion and Graduation," by Jay P. Heubert and Robert M. Hauser, Editors, National Academy Press, Washington, D.C. 1999--read only from "Executive Summary" down.
        American Psychological Association "Appropriate Use of High-Stakes Testing in Our Nation's Schools"

            a. What is high-stakes testing?
                What is No Child Left Behind?
            b. What is the history of high-stakes testing?

            c. State Standards--Figure
            d. Why implement high-stakes testing?
            e. What are criticisms of high-stakes testing?
            f. Legal challenges

            g. Theory: how should high-stakes testing affect outcomes?
            h. How do we measure the impact?

            i. Evidence from high-stakes testing

------------------------------------------------------- Material below here will not be covered on the final
6. Higher Education 
    A. Overview/Introduction

        1. Supply of higher education
        2. Demand of higher education
        3. Government involvement
        4. Differences from primary and secondary
        5. Differences from higher education in the world

        6. Participation

    B. Historical and Contextual Background
        Required Reading
           Goldin and Katz, “The Shaping of Higher Education: The Formative Years in the United States, 1890 to 1940,” Journal of Economic Perspectives 13 (Winter 1999), pp. 73-62
           UGA College of Education, 
Chronology of Significant Events in UGA Education History.
        1. Change in enrollment rates
        2. Trends in the development of colleges and universities
        3. What explains the trends?
        4. Differences between private and public institutions
        5. What determines state support for higher education?

        6. History of student financing in the US

    C. Recent Trends
        Required Reading
           Cornwell, Christopher M. and David B. Mustard. “Assessing Public Higher Education in Georgia at the Start of the 21st Century,” in What's Happening to Public Higher Education, Edited by Ronald Ehrenberg, Greenwood Press: American Council for Education, forthcoming.
       1. Funding (State, federal, tuition)
       2. Tuition
       3. Significant growth in merit aid programs

       4. Experimentation
       5. Increase in funding students relative to institutions
       6. Affirmative action



    D. Racial Differences in Education
    "Discrimination in education is symbolic of all the more drastic discrimination in which Negroes suffer. In the American life, the equal protection clause in the Fourteenth Amendment furnishes the key to ending separate schools." Charles Hamilton Houston

        1. Discrimination - Economic Theory of Discrimination
      Required Reading Becker, Gary S. "Nobel Lecture: The Economic Way of Looking at Life," The Journal of Political Economy, Vol. 101, Issue 3 (June 1993): 383-409. Just read Section II (Discrimination Against Minorities) (JSTOR)
            a. Beckerian discrimination
                1) Definition
                2) Discrimination coefficients
                3) Examples of Beckerian discrimination
                    a) Employer
                    b) Consumer
                    c) Employee
                4) Implications of discriminatory behavior

   PAPERS PRESENTED
            b. Statistical discrimination
                1) Definition
                2) Examples
        2. Historical/Legal context of race in education
            1896 Plessey v. Ferguson
            1954 Brown v. Board of Education of Topeka, Kansas
            Increased use of quotas
            1974 DeFunsis v. Odegaard
            1978 Bakke v. California Board of Regents
            1988 US Dept of Education--Berkeley--UCLA
            1992 US DoE and Berkeley's Boalt Hall
            1994 CA Gov. Pete Wilson proposed dropping race sensitive admissions policies
            1995 CA Board of Regents support ban, effective 1996
            1996 CA passes Prop. 209
            1996 Hopwood v. Texas
            1998 Washington passes I-200
            2001 11th Circuit rules against UGA
            2002 Grutter/Gratz v. Bollinger in 6th Circuit
            2003
Grutter/Gratz v. Bollinger in USSC
            2007 Parents Involved in Community Schools v. Seattle School District No. 1

International Comparisons
    1. Trends in International Mathematics and Science Study (TIMSS)


    PAPERS PRESENTED
        3. Affirmative Action

        Required Reading "Race Sensitive Policies in Admissions: A 30-year Study," PBS Frontline.
        "Interview with William G. Bowen," PBS Frontline.
        "Interview with Derek Bok," PBS Frontline.
        "Interview with Abigail Thernstrom," PBS Frontline

        Thomas Sowell, "Racial Quotas in College Admissions: A Critique of the Bowen and Bok Study," Hoover Institution Essays in Public Policy, 1999, no. 3.
        Ward Connerly, "One Nation, Indivisible," Hoover Digest, 2001, no. 1.
        Sara Rimer and Karen W. Arenson, "Top Colleges Take More Blacks, but Which Ones?"
The New York Times, June 24, 2004.


         Optional Reading-can just look briefly at abstracts or conclusions
        Richard H. Sander. 2004. "A Systematic Analysis of Affirmative Action in American Law Schools." Stanford Law Review, (Nov.): 368-483.

               a. What data did Bowen and Bok use?
               b. What did Bowen and Bok conclude?
               c. Criticisms of Bowen-Bok.
               d. Other potential strategies to promote diversity
                  1) X% rules
                  2) Preferential admissions based on SES factors


------------------------------------------------------- COURSE SUMMARY
    1. People respond to incentives--in education and everywhere!
    2. Because people respond to incentives there are very important policy implications
        Differences between intent and outcome
        Unintended consequences
    3. I try to cover policy but not be political
    4. How do you measure policy impacts? What constitutes good evidence? weak evidence?
        Measurement error
        Selection bias
        Reverse causality
        Omitted variable bias
    5. Equip you to make informed decisions


    E. Merit Based Aid
             Required Reading Cornwell, Christopher M. and David B. Mustard "Georgia's HOPE Scholarship Program: Enrollment Gains and Lottery Finance." Insights on Southern Poverty. Fall, Vol. 1, No. 3: pages 5-8.
       1. Introduction
       2. Growth of merit aid programs (state vs. institutional)
       3. Program rules
          a. Obtain
          b. Retain

       4. Financing of merit aid programs
       5. How do merit programs affect enrollment?
          a. How do we measure the effect of HOPE?
          b. How should merit aid affect enrollment?
             By type institution type, race, etc.

        6. Merit aid and stratification by ability
        7. How do merit programs affect behavior at college?
           Required Reading Cornwell, Lee, and Mustard "The Effects of Merit-Based Financial Aid on Course Enrollment, Withdrawal and Completion in College".
            a. Retention rules
            b. Incentives for behavior
                1) Increase effort and human capital
                2) Strategic course taking
            c. Difference-in-differences
            d. Effects at different ability levels
            e. Effects over time
       8. Do  merit programs retain students?

Merit Aid issues
        2. Reasons for implementing merit aid programs

        3. McPherson and Schapiro discuss merit aid as a prisoner's dilemma
        4. Is merit aid socially productive or unproductive educational spending?
        5. What is the optimal way to distribute students across schools?
        6. Institutional practices and merit aid
        7. Individual recipients of merit aid
 
  C. Access and Choice
        
Required Reading
            "Why Zell Miller Screws the Democrats. Man from HOPE," The National Review, by Jason Zengerle, 2 Feb. 2001
         Required Reading
            McPherson and Schapiro, The Student Aid Game, Chapters 3-6.
            Cornwell, Mustard and Sridhar, "The Enrollment Effects of Merit-Based Financial Aid: Evidence from Georgia's HOPE Scholarship"--Sections 1-3, 4.1, 4.4, 5 (conclusion)
            Boehner, Representative John A. and Representative Howard P. "Buck" McKeown, "The College Cost Crisis: A Congressional Analysis of College Costs and Implications for America's Higher Education System,"

        1. Definitions of Access and Choice
        2. Why should we be concerned about access?
        3. Changing costs and benefits of college degree and changing enrollment rates
            a. Tuition costs
            b. Opportunity costs
        4. How has funding for college changed? ---- Table 2
            a. State and local
            b. Federal
            c. Tuition
            d. Gifts and Edowments
            e. Other
        5. Effects across income levels
           a. Access and choice
            b. Elasticity of Demand
            c. Differences by institution type

       7. Future of College Affordability
            a. Demand Side
            b. Supply/Finance Side
            c. How will institutions respond?
            d. McPherson and Schapiro’s exhortation

    D. Strategic Responses - students and institutions
         Required Reading
            McPherson and Schapiro, The Student Aid Game, Chapters 7-9.
            Albert B. Crenshaw, "Price Wars on Campus; Colleges Use Discounts to Draw Best Mix Of Top Students, Paying Customers,"
The Washington Post, 15 October 2002, p. A1.

        1. How do government subsidies affect the price of colleges?
            a. Theory of subsidies
-------------------------------------------------------
            b. Federal subsidies and the Bennet Hypothesis
            c. Federal subsidies under the Clinton administration
            d. State subsidies--merit based aid
            e. Alternatives
        2. Institutional responses in admission and financial aid policies
            a. Need-blind admissions with various forms of financial aid
            b. Admission is a function of ability to pay
            c. Admission is a function of likelihood of attending
            d. Early acceptance/Early admit



--------------
    Review for Final
        How should we subsidize higher education?

------------------------------------------------------- Extra material--not covered in course

7. International Education 
    A. Vouchers and Faith-Based Schools

        Barrera-Osorio, Felipe, Harry Anthony Patrinos, and Quentin Wodon (editors). 2009. Emerging Evidence on Vouchers and Faith-Based Providers in Education: Case Studies from Africa, Latin America, and Asia. The World Bank: Washington, DC.

    E. Course Material Overview
        Clarke County School District, Athens Community, and University of Georgia in a Partnership for Community Learning Centers
 

        (packet) Julian R. Betts, "Is There a Link Between School Inputs and Earnings? Fresh Scrutiny of an Old Literature." In Does Money Matter? The Effect of School Resources on Student Achievement and Adult Success, edited by Gary Burtless, Washington, D.C.: pages 141-191.
        (packet) John E. Chubb and Terry M. Moe, Politics, Markets and America's Schools, The Brookings Institution, Washington, D.C., Chapter 6.

    Jeffrey Groen and Michelle J. White, "In-State versus Out-of-State Students: The Divergence of Interest between Public Univerisities and Some State Governments."
    John Bound, Jeffrey Groen, Gabor Kezdi and Sarah Turner, "Trade in University Training: Cross-State Variation in the Production and Use of College-Educted Labor," National Bureau of Economic Research Working Paper #8555.
   Ronald G. Ehrenberg and Christopher L. Smith, "Within State Transitions from 2-Year to 4-Year Public Institutions," National Bureau of Economic Research Working Paper #8792.
    Stacy Berg Dale and Alan B. Krueger, "Estimating the Payoff to Attending A More Selective College: An Application of Selection on Observables and Unobservables," National Bureau of Economic Research Working Paper #7322.
   Peter Arcidiacono and Sean Nicholson, "The Mirage of Peer Effects: Evidence from U.S. Medical Schools," Working Paper.

Student Presentations
    Eric Hanushek, "Publicly Provided Education," National Bureau of Economic Research Working Paper #8799.

        Diana B. Henriques and Jacques Steinberg, "Woes for Company Running Schools," New York Times, 14 May 2002.

    Hoxby, Caroline M. "How School Choice Affects the Achievement of Public School Students." Harvard University and National Bureaue of Economic Research Working Paper, December 2001.

 

Note: change outline so there is a first wave and second wave or educational reforms.

Charter Schools
            Chester E. Finn Jr., "Charter Schools in Action," April 10, 2000
            Caroline Hoxby, "What Parents Choose When Given Choices," March 20, 2000
 

-------------------------------------------------------- Skip in 2005
    C. Racial Differences
       
Required Reading June O'Neill, "The Role of Human Capital in Earnings Differences Between Black and White Men," Journal of Economic Perspectives, Vol. 4, No. 4 (Fall 1990), pp. 25-45. (JSTOR)
         1. Wages
            a. Historical trends of inequality
            b. Explanations for changing inequality
        2. Education

       3. Test Score Differences
        Required Reading "The Test Score Gap," PBS Frontline.
        Hechinger, John. 2009. "SAT Scores Fall as Gap Widens; Asians Gain."
Wall Street Journal,  Aug. 26, 2009.
        Christopher Jencks and
            a. Definition
            b. Size of gaps

            c. What explains the test score gaps?

    D. Potential Solutions
        1. Reparations

            a. What are reparations
            b. Examples of reparations
            c. Reasons to support
            d. Reasons to be critical
-------------------------------------------------------- End Skip in 2005

Names Research
    a. Bertrand, Marianne and Sendhil Mullainithan, "Are Emily and Brendan More Employable than Latoya and Tyrone? Evidence on Racial Discrimination in the Labor Market from a Large Randomized Experiment,” September 2004, American Economic Review. http://post.economics.harvard.edu/faculty/mullainathan/papers/emilygreg.pdf.
    b. Fryer, Roland G., Jr. and Steven D. Levitt, "The Causes and Consequences of Distinctively Black Names." Quarterly Journal of Economics, Vol. 119, Issue 3, August 2004. http://post.economics.harvard.edu/faculty/fryer/papers/qjec_vol119_3.pdf
    c. David Figlio. "Names, Expectations, and Black Children's Achievements" http://bear.cba.ufl.edu/figlio/. Once at homepage go to "Words" link. This is the first paper.

        6. Gender Differences in Education
        Required Reading
        
    Hacker, Andrew. "How the B.A. Gap Widens the Chasm Between Men and Women." The Chronicle of Higher Education, June 20, 2003.
            Sommers, Christina Hoff. "The War Against Boys, Part I." The Atlantic Monthly.  Volume 285, No. 5; May 2000, pp. 59-74.
            Sommers, Christina Hoff. "The War Against Boys, Part II." The Atlantic Monthly.  Volume 285, No. 5; May 2000, pp. 59-74.
            Sommers, Christina Hoff. "The War Against Boys, Part III." The Atlantic Monthly.  Volume 285, No. 5; May 2000, pp. 59-74.
            Sommers, Christina Hoff. "The War Against Boys, Part IV." The Atlantic Monthly.  Volume 285, No. 5; May 2000, pp. 59-74.
            "Exchange about The War Against Boys," The Atlantic Monthly.  August 2000; Letters; Volume 286, No. 2; pp. 6-13.

            Alyssa Abkowitz, "Bulldog Barbie: How UGA Became White Chick U" Creative Loafing, Feb. 3, 2005.
    Kremer, Michael, Edward Miguel, and Rebecca Thornton. 2005. "Incentives to Learn" Education Next.
   

            1) What are the trends in educational attainment by gender?    
            2) What accounts for these trends in educational attainment?
            3) What are some of the implications of these trends?
-------------------------------------------------------- End Skip in 2005

V. Higher Education
        
Required Reading
           Goldin and Katz, “The Shaping of Higher Education: The Formative Years in the United States, 1890 to 1940,” Journal of Economic Perspectives 13 (Winter 1999), pp. 73-62
   
        Cornwell, Lee, and Mustard "The Effects of Merit-Based Financial Aid on Course Enrollment, Withdrawal and Completion in College".

    A. Overview/Introduction
        1. Supply of higher education
        2. Demand of higher education
        3. Government involvement
        4. Differences from primary and secondary/Differences from higher education in the world
        5. Participation

    B. Historical and Contextual Background

        1. Change in enrollment rates
        2. Trends in the development of colleges and universities
        3. What explains the trends?
        4. Differences between private and public institutions
        5. What determines state support for higher education?

        6. History of student financing in the US

    C. Access and Choice
         Required Reading
            McPherson and Schapiro, The Student Aid Game, Chapters 3-6.
            Cornwell, Mustard and Sridhar, "The Enrollment Effects of Merit-Based Financial Aid: Evidence from Georgia's HOPE Scholarship"--Sections 1-3, 4.1, 4.4, 5 (conclusion)
            Boehner, Representative John A. and Representative Howard P. "Buck" McKeown, "The College Cost Crisis: A Congressional Analysis of College Costs and Implications for America's Higher Education System,"

        1. Definitions of Access and Choice
        2. Why should we be concerned about access?
        3. Changing costs and benefits of college degree and changing enrollment rates
            a. Tuition costs
            b. Opportunity costs
        4. How has funding for college changed? ---- Table 2
            a. State and local
            b. Federal
            c. Tuition
            d. Gifts and Edowments
            e. Other
        5. Effects across income levels
           a. Access and choice
            b. Elasticity of Demand
            c. Differences by institution type

         6. HOPE Scholarship and merit-based aid
            a. Access-choice
            b. Methodology
            c. Enrollment changes
                1) Total
                2) Public 4-year
                3) Private 4-year
                4) 2-year
                5) Black-white/HBCUs
    Final Exam - In Normal Classroom

    Mazumder, Bhashkar. "Family Resources and College Enrollment." Economic Perspectives, Federal Reserve Bank of Chicago, Vol. 27, No. 4, pp. 30-41. 

Homeschooling
    

               Online learning community for charter schools 

                 Bell, Griffin. "Higher Expectations for Higher Education." Georgia Public Policy Foundation, Jan. 20.