Investigación Chumacero Paredes Díaz
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Investigación Chumacero Paredes Díaz

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    Investigación Chumacero Paredes Díaz Investigación Chumacero Paredes Díaz Presentation Transcript

    • School Choice and Information Rómulo A. Chumacero Daniel Gómez Ricardo D. Paredes
    • Motivation
      • The Chilean educational voucher system was introduced in 1981
      • Pillar of the system:
        • Parent’s right to choose would foster competition and improve quality
        • Rejection of low quality schools would lead to declining number of students, and eventually eliminate them from the market
      • This line of reasoning was questioned by surveys:
        • Most important factor for choosing school: distance
        • Parents value quality but do not know results of standardized tests
    • Contributions
      • Role of information on school choice
        • Fills gaps and helps make better choice
        • Information used correlated with quality (“as if”)
        • Don’t know, don’t care
      • Natural experiment
        • Score results were not always public
      • Contrast what is said with what is done
          • How do parents really act
          • (declared versus reveled preferences)
    • Structure of the Paper
      • The data
      • The model
      • The results
      • Concluding remarks
    • The Data (measuring distance)
      • SIMCE: Test scores, characteristics of schools and households, location of school, but not of household
      • CASEN: Characteristics of household, school chosen, and block of household
      • School directory: address of schools
        • Digital maps (Mapcity and Dictuc)
        • Estimate Euclidian distance from centroid of the block (home and school)
        • 2003: 2,310 out of 2,312 schools in the 34 counties in the Santiago area
    • Natural experiment
      • Results of 1995 test were made public in April 1996
      • Parents had already enrolled children
      • CASEN survey conducted in 1996
      • How were choices made prior to making results public?
      • Compare 1996 and 2003
        • How to consider that Santiago has grown?
        • Blocks are not directly comparable
        • Role of information
          • Quasi-matching
    • How things really are (Distance)
    • How things really are (Distance and age)
    • How things really are (Attending the nearest school)
    • Elite voucher schools (where they are)
    • Elite voucher schools (where the students live)
    • How things really are (Quality)
    • How things really are (Competition: Schools in 2 kms radius)
    • The Empirical Model
      • Parents consider several factors
        • Child specific and common to schools (age, gender, income, education of parents, x )
        • School specific (type, quality, cost, other factors, y )
        • Child and school specific (distance, z )
      • Agent i chooses school h if u i,j ≤u i,h for all j
        • Problem: In 2003 there were 2310 schools and 7479 students. Compute and model more than 17 million distances and possible choices
    • The Empirical Model
      • Define n i as “nearest school to household i ”
      • QML estimator
    • Determinants ( w )
      • Individual or household characteristics: Gender, age, parents’ education, and (log) per capita income.
      • Nearest school: Quality of the school (average result in standardized tests), distance of the nearest school from the household, price.
      • Chosen school: Quality of the school (average result in standardized tests), type of school (municipal, subsidized, private), price.
      • “ Competition”: Number of schools in a 2 kilometers radius from the household.
    • Main results
      • The probability of chosing the nearest school increases:
        • Women
        • Younger
        • Poorer
        • Less educated parents
        • Quality of the nearest school
        • Fewer schools in the area
        • Cheaper (2003)
      • Trade-offs (Distance – quality)
      • Consistent in sub-samples (“as if”)
    • Probability of choosing nearest school
    • Concluding remarks
      • Policy prescriptions should not be guided by anecdotal evidence
      • As they should, families have always valued quality (among other factors) and have behaved “as if” they knew it
      • Additional information has helped to take more informed decisions
      • Extreme caution when tampering with incentives
    • School Choice and Information Rómulo A. Chumacero Daniel Gómez Ricardo D. Paredes