PT  - JOURNAL ARTICLE
AU  - José María Cabrera
AU  - Dinand Webbink
TI  - Do higher salaries yield better teachers and better student outcomes?
AID  - 10.3368/jhr.55.4.0717-8911R3
DP  - 2019 Apr 10
TA  - Journal of Human Resources
4099  - http://jhr.uwpress.org/content/early/2019/04/04/jhr.55.4.0717-8911R3.short
4100  - http://jhr.uwpress.org/content/early/2019/04/04/jhr.55.4.0717-8911R3.full
AB  - We study the effects of a policy aimed at attracting more experienced and better qualified teachers in primary schools in disadvantaged neighborhoods in Uruguay. Teachers in these schools could earn higher salaries, and more experienced teachers are given priority in choosing teaching positions. Eligibility for the program was based on a poverty index with a cutoff rule. Estimates from regression discontinuity models show that the policy successfully led to ‘hiring experience from other schools’, and also increased tenure. Overall, the effect on student outcomes was small. We rationalize this result by showing that the program may have increased experience in ways that are not strongly associated with improved student outcomes. Consistent with this, we do find achievement gains for students in schools that saw a reduction in the share of very inexperienced teachers. The results underscore that increases in teacher pay may only improve student outcomes if it increases those teacher characteristics that actually improve student outcomes.