Peer Effects in Classrooms: Evidence from Random Assignment

Lei Xu () and Yu Zhu
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Lei Xu: Loughborough University

No 18416, IZA Discussion Papers from IZA Network @ LISER

Abstract: We apply a novel approach to estimate the effects of exposure to peers with different attributes by using the predetermined leave-own-out attributes of all classmates in randomly assigned classes. This strategy allows a behavioural interpretation of the peer effect over and above the pure mechanical channel. We find that being exposed to peer groups with attributes conducive to academic achievements, induced by random variations in the shares of classmates with college-educated parents, increases exam scores. We show that estimates based on the commonly used leave-own-out measures are highly sensitive to sample selection bias arising from non-random tracking in the sample. We show that estimates based on the commonly used leave-one-out measures are highly sensitive to non-random tracking in the sample.

Keywords: parental education; random assignment; China (search for similar items in EconPapers)
JEL-codes: I20 I24 (search for similar items in EconPapers)
Date: 2026-03
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Journal Article: Peer effects in classrooms – Evidence from random assignment (2026)
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