Teacher Performance Pay and Student Learning: Evidence from a Nationwide Program in Peru

Cristina Bellés-Obrero and Maria Lombardi

Economic Development and Cultural Change, 2022, vol. 70, issue 4, 1631 - 1669

Abstract: We study the impact of a nationwide teacher pay-for-performance program in Peru. Public secondary schools compete in a tournament based on eighth graders’ performance in a standardized test. The principal and teachers of winning schools receive a substantial bonus. We perform a difference-in-differences estimation comparing the internal grades of eighth and ninth graders of the same school, before and after the program. We find a precisely estimated zero effect on student achievement, which could be a consequence of teachers’ uncertainty about how to improve their students’ performance in the standardized test tied to the bonus.

Date: 2022
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Related works:
Working Paper: Teacher Performance Pay and Student Learning: Evidence From a Nationwide Program in Peru (2019)
Working Paper: Teacher Performance Pay and Student Learning: Evidence from a Nationwide Program in Peru (2019)
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