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The Effect of Extra Funding for Disadvantaged Pupils on Achievement

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Author Info
Edwin Leuven (University of Amsterdam, School of Economics, and the Tinbergen Institute)
Mikael Lindahl (Swedish Institute for Social Research)
Hessel Oosterbeek (University of Amsterdam, School of Economics, and the Tinbergen Institute)
Dinand Webbink (CPB Netherlands Bureau for Economic Policy Analysis)

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Abstract

This paper evaluates the effects of two subsidies targeted at schools with large proportions of disadvantaged pupils. The first scheme gives primary schools with at least 70% disadvantaged minority pupils extra funding for personnel. The second scheme gives primary schools with at least 70% pupils from any disadvantaged group extra funding for computers and software. The cutoffs provide a regression discontinuity design that we exploit in a local difference-in-differences framework. For both subsidies we find negative point estimates, which are for some outcomes significantly different from 0. Extra funding for computers and software seems especially detrimental for girls' achievement. The negative effects of extra funding for computers and software are consistent with results from other recent studies casting doubt on the efficacy of computers in schools. Copyright by the President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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File URL: http://www.mitpressjournals.org/doi/pdfplus/10.1162/rest.89.4.721
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Publisher Info
Article provided by MIT Press in its journal The Review of Economics and Statistics.

Volume (Year): 89 (2007)
Issue (Month): 4 (07)
Pages: 721-736
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Handle: RePEc:tpr:restat:v:89:y:2007:i:4:p:721-736

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Hanushek, Eric A., 2006. "School Resources," Handbook of the Economics of Education, Elsevier. [Downloadable!] (restricted)
  2. Card, David & Payne, A. Abigail, 2002. "School finance reform, the distribution of school spending, and the distribution of student test scores," Journal of Public Economics, Elsevier, vol. 83(1), pages 49-82, January. [Downloadable!] (restricted)
  3. Rouse, Cecilia Elena & Krueger, Alan B., 2004. "Putting computerized instruction to the test: a randomized evaluation of a "scientifically based" reading program," Economics of Education Review, Elsevier, vol. 23(4), pages 323-338, August. [Downloadable!] (restricted)
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  4. Austan Goolsbee & Jonathan Guryan, 2002. "The Impact of Internet Subsidies in Public Schools," NBER Working Papers 9090, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  5. Edwin Leuven & Hessel Oosterbeek, 2004. "Evaluating the Effect of Tax Deductions on Training," Journal of Labor Economics, University of Chicago Press, vol. 22(2), pages 461-488, April. [Downloadable!]
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  6. Hanushek, Eric A, 1986. "The Economics of Schooling: Production and Efficiency in Public Schools," Journal of Economic Literature, American Economic Association, vol. 24(3), pages 1141-77, September. [Downloadable!] (restricted)
  7. Alan B. Krueger, 2003. "Economic Considerations and Class Size," Economic Journal, Royal Economic Society, vol. 113(485), pages F34-F63, February. [Downloadable!] (restricted)
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  8. Joshua Angrist & Victor Lavy, 2002. "New Evidence on Classroom Computers and Pupil Learning," Economic Journal, Royal Economic Society, vol. 112(482), pages 735-765, October. [Downloadable!] (restricted)
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  9. Jonathan Guryan, 2001. "Does Money Matter? Regression-Discontinuity Estimates from Education Finance Reform in Massachusetts," NBER Working Papers 8269, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Oosterbeek, Hessel & van Praag, Mirjam & IJsselstein, Auke, 2008. "The Impact of Entrepreneurship Education on Entrepreneurship Competencies and Intentions: An Evaluation of the Junior Achievement Student Mini-Company Program," IZA Discussion Papers 3641, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  2. Frölich, Markus & Melly, Blaise, 2008. "Quantile Treatment Effects in the Regression Discontinuity Design," IZA Discussion Papers 3638, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Stephen Machin & Sandra McNally & Olmo Silva, 2006. "New Technology in Schools: Is There a Payoff?," IZA Discussion Papers 2234, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  4. Revelli Federico, 2008. "Spend more, get more? An inquiry into English local government performance," Department of Economics Working Papers 200804, University of Turin. [Downloadable!]
  5. Maarten Cornet & Fré Huizinga & Bert Minne & Dinand Webbink, 2006. "Successful knowledge policies," CPB Memoranda 158, CPB Netherlands Bureau for Economic Policy Analysis. [Downloadable!]
  6. Lex Borghans & Hans Heijke, 2005. "The production and use of human capital: Introduction," Education Economics, Taylor and Francis Journals, vol. 13(2), pages 133-142, June. [Downloadable!] (restricted)
  7. Hessel Oosterbeek & Mirjam C. van Praag & Auke IJsselstein, 2008. "The Impact of Entrepreneurship Education on Entrepreneurship Competencies and Intentions," Tinbergen Institute Discussion Papers 08-038/3, Tinbergen Institute. [Downloadable!]
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