TY - JOUR T1 - Why Do We Inflate Grades? JF - Journal of Human Resources JO - J Hum Resour SP - 878 LP - 921 DO - 10.3368/jhr.56.3.0518-9493R2 VL - 56 IS - 3 AU - Kelly Chen AU - Zeynep Hansen AU - Scott Lowe Y1 - 2021/07/01 UR - http://jhr.uwpress.org/content/56/3/878.abstract N2 - A burgeoning literature has documented the influence of adjunct instructors on student subsequent interest and success, but very little is known about the underlying mechanisms. This study investigates instructor choice of grading standards as one mediating channel by exploiting a unique university policy that converts full-time permanent lecturers from existing pool of part-time temporary instructors. We find that instructors hired on a temporary, part-time basis assign higher grades than their permanent full-time counterparts, with no discernible differences in student learning outcomes or perceived teaching effectiveness. The differential grading standards, however, appear to have a nonnegligible impact on student enrollment patterns. ER -