Citation
Loyalka, Prashant; Sylvia, Sean; Liu, Chengfang; Chu, James; & Shi, Yaojiang (2019). Pay by Design: Teacher Performance Pay Design and the Distribution of Student Achievement. Journal of Labor Economics, 37(3), 621-662.Abstract
We present results of a randomized trial testing alternative approaches of mapping student achievement into rewards for teachers. Teachers in 216 schools in western China were assigned to performance pay schemes where teacher performance was assessed by one of three different methods. We find that teachers offered “pay-for-percentile” incentives outperform teachers offered simpler schemes based on class-average achievement or average gains over a school year. Moreover, pay-for-percentile incentives produced broad-based gains across students within classes. That teachers respond to relatively intricate features of incentive schemes highlights the importance of paying close attention to performance pay design.URL
http://dx.doi.org/10.1086/702625Reference Type
Journal ArticleYear Published
2019Journal Title
Journal of Labor EconomicsAuthor(s)
Loyalka, PrashantSylvia, Sean
Liu, Chengfang
Chu, James
Shi, Yaojiang