Can Financial Incentives for Regional Education Authorities Reduce School Dropout?

Roel Elk (), Marc Steeg and Dinand Webbink

De Economist, 2013, vol. 161, issue 4, 367-398

Abstract: This paper investigates the effect of a new type of financial incentive in education targeted at regional authorities. Previous studies have focused on financial incentives for students, teachers or schools. We identify the effect by exploiting the gradual introduction of a new policy aimed at reducing school dropout in the Netherlands. The introduction of the policy in 14 out of 39 regions and the use of a specific selection rule for the participating regions allow us to estimate local difference-in-differences models. Using administrative data for all Dutch students in the year before and the year after the introduction of the new policy we find no effect of the financial incentive scheme on school dropout. In addition, we find suggestive evidence for manipulation of outcomes in response to the program. Copyright Springer Science+Business Media New York 2013

Keywords: Financial incentives; School dropout; Policy evaluation; Local difference-in differences; I21; I28 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1007/s10645-013-9210-8 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:decono:v:161:y:2013:i:4:p:367-398

Ordering information: This journal article can be ordered from
http://www.springer. ... cs/journal/10645/PS2

DOI: 10.1007/s10645-013-9210-8

Access Statistics for this article

De Economist is currently edited by Rob Alessie, Bas ter Weel, Casper van Ewijk, Jan C. van Ours and Frank de Jong

More articles in De Economist from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().