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The Local Effects of the Texas Shale Boom on Schools, Students, and Teachers

Joseph Marchand () and Jeremy Weber ()

No 2017-12, Working Papers from University of Alberta, Department of Economics

Abstract: This study explores how the Texas shale boom affected schools, students, and teachers. Using variation in geology across school districts and oil prices over time, the evidence shows that test scores in the average shale district declined despite tripling the tax base and creating a revenue windfall. Greater spending went to capital projects and servicing debt, not to teachers. Higher labor market wages did not affect student completion rates, but a growing gap in wages between the private and education sectors contributed to greater teacher turnover and more inexperienced teachers, which helps explain the decline in test scores.

Keywords: local labor markets; local public finances; resource booms; schools; students; teachers (search for similar items in EconPapers)
JEL-codes: H70 I22 J24 J40 Q33 R23 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-edu, nep-ene, nep-lma and nep-ure
Date: 2017-10-31
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Handle: RePEc:ris:albaec:2017_012