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Understanding the response to financial and non-financial incentives in education: Field experimental evidence using high-stakes assessments
Institution:1. University of Bristol, 2C1, The Priory Road Complex, Priory Road, Clifton, BS8 1TU, UK;2. University of Southern California, 3620 South Vermont Ave. Kaprielian (KAP) Hall, 300, Los Angeles, CA 90089-0253, USA;3. UC San Diego, 9500 Gilman Drive, La Jolla, CA 92093, USA;1. University of California, Irvine;2. Purdue University;3. Boston University;4. University of Denver;1. University of Mannheim, Department of Economics, Office 326, L7, 3-5, Mannheim, 68161, Germany;2. University of Essex, Department of Economics, Wivenhoe Park, Colchester, CO4 3SQ, United Kingdom
Abstract:We analyze the impact on high-stakes assessments of incentivizing students’ effort in a field experiment with over 10,000 high school students. We contribute to the literature by using our rich data and machine learning techniques to explore treatment heterogeneity; by comparing financial and non-financial rewards in rewarding effort rather than grades; and by using high-stakes outcomes. We find little average impact of incentives in the overall population, but we identify a “right tail” of highly responsive students: in the upper half of the responsiveness distribution, test scores improve by 0.1-0.2 SD, about half the attainment gap between poor and non-poor students.
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