EconPapers    
Economics at your fingertips  
 

The Best Business Schools: A Market Based Approach

Joseph Tracy () and Joel Waldfogel ()

No 4609, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We present a new methodology for ranking business schools. Unlike previous rankings based on subjective survey responses (from CEOs, business school deans, recruiters, or graduates), our approach uses data derived from the labor market for new MBAs. We adjust programs' salaries for the quality of entering students in an attempt to distinguish value added from the quality of incoming students. We then rank programs according to value added. Our results are rather surprising. While four of our top five programs are also labelled as top programs in other rankings, ten of our top twenty are previously unranked. By emphasizing program value added, our procedure identifies several programs that have been overlooked by other rankings since they do not recruit the very top students. We explore the determinants of our value added and student quality measures and find that connections to the business community are positively related to value added, while academic research and high faculty salaries are more strongly associated with student quality. We also find that tuition is better explained by our measure of value added than raw salary, suggesting that programs charge according to value added.

JEL-codes: M10 J31 (search for similar items in EconPapers)
Date: 1994-01
Note: LS
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (3) Track citations by RSS feed

Published as Journal of Business, 1997, vol.70, No.1, pp.1-31

Downloads: (external link)
http://www.nber.org/papers/w4609.pdf (application/pdf)

Related works:
Journal Article: The Best Business Schools: A Market-Based Approach (1997) Downloads
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:nbr:nberwo:4609

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w4609

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Series data maintained by ().

 
Page updated 2017-10-07
Handle: RePEc:nbr:nberwo:4609