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Income and Peer Quality Sorting in Public and Private Schools

In: Handbook of the Economics of Education

Author

Listed:
  • Nechyba, Thomas J.
Abstract
Any system of primary and secondary schools involves explicit or implicit mechanisms that ration not only financial but also nonfinancial inputs into education production. This chapter focuses primarily on such mechanisms as they relate to the sorting of parents and children into schools and classrooms. Three primary mechanisms are reviewed: (1) sorting that emerges through residential location choices within housing markets that are linked to schools; (2) sorting that arises from parental choices to send children to private rather than public schools; and (3) sorting within schools that results from explicit tracking policies. The equilibrium level of sorting (along parental income and child peer quality dimensions) then depends on both the specifics of how education production works and the overall characteristics of the general equilibrium environment within which schools operate. We review the theoretical as well as the related simulation-based literature in this area and suggest that much potential exists for increasing empirical relevance of the emerging models for policy analysis, particularly as a related empirical literature comes to better terms with the nature of peer effects in education production.

Suggested Citation

  • Nechyba, Thomas J., 2006. "Income and Peer Quality Sorting in Public and Private Schools," Handbook of the Economics of Education, in: Erik Hanushek & F. Welch (ed.), Handbook of the Economics of Education, edition 1, volume 2, chapter 22, pages 1327-1368, Elsevier.
    • Handle: RePEc:eee:educhp:2-22
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    Citations

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    Cited by:

    1. Jo Blanden & Matthias Doepke & Jan Stuhler, 2022. "Education inequality," CEP Discussion Papers dp1849, Centre for Economic Performance, LSE.
    2. Michele Raitano & Francesco Vona, 2013. "Peer heterogeneity, school tracking and students' performances: evidence from PISA 2006," Applied Economics, Taylor & Francis Journals, vol. 45(32), pages 4516-4532, November.
    3. Charles Ka Yui Leung & Joe Cho Yiu Ng, 2018. "Macro Aspects of Housing," GRU Working Paper Series GRU_2018_016, City University of Hong Kong, Department of Economics and Finance, Global Research Unit.
    4. Yohanes E. Riyanto & Linda A. Toolsema, 2007. "Corporate Social Responsibility in a Corporate Governance Framework," Departmental Working Papers wp0702, National University of Singapore, Department of Economics.
    5. Joshi, Radhika, 2020. "Can social integration in schools be mandated: Evidence from the Right to Education Act in India," International Journal of Educational Development, Elsevier, vol. 77(C).
    6. Edmark, Karin & Frölich, Markus & Wondratschek, Verena, 2014. "Sweden's school choice reform and equality of opportunity," Labour Economics, Elsevier, vol. 30(C), pages 129-142.
    7. Paul Anand & Jere R Behrman & Hai-Anh H Dang & Sam Jones, 2022. "Decomposing Learning Inequalities in East Africa: How Much Does Sorting Matter?," The World Bank Economic Review, World Bank, vol. 36(1), pages 219-243.
    8. Emmanuel Vazquez, 2016. "Segregación escolar por nivel socioeconómico. Midiendo el fenómeno y explorando sus determinantes," Económica, Departamento de Economía, Facultad de Ciencias Económicas, Universidad Nacional de La Plata, vol. 62, pages 121-184, January-D.
    9. David De La Croix & Matthias Doepke, 2009. "To Segregate or to Integrate: Education Politics and Democracy," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 76(2), pages 597-628.
    10. Gioia De Melo, 2011. "Peer effects identified through social networks. Evidence from Uruguayan schools," Department of Economics University of Siena 627, Department of Economics, University of Siena.
    11. Paul Anand & Jere R. Behrman & Hai-Anh H. Dang & Sam Jones, 2019. "Does sorting matter for learning inequality?Evidence from East Africa," PIER Working Paper Archive 20-006, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania.
    12. Timothy M. Diette & Ruth Uwaifo Oyelere, 2017. "Do limited English students jeopardize the education of other students? Lessons from the North Carolina public school system," Education Economics, Taylor & Francis Journals, vol. 25(5), pages 446-461, September.
    13. Fabian Eckert & Tatjana Kleineberg, 2019. "Can We Save the American Dream? A Dynamic General Equilibrium Analysis of the Effects of School Financing on Local Opportunities," 2019 Meeting Papers 1197, Society for Economic Dynamics.
    14. Eric A. Hanushek & Kuzey Yilmaz, 2012. "Land Use Controls and the Provision of Education," NBER Working Papers 17730, National Bureau of Economic Research, Inc.
    15. Eric A. Hanushek & Kuzey Yilmaz, 2007. "Schools and Location: Tiebout, Alonso, and Government Policy," NBER Working Papers 12960, National Bureau of Economic Research, Inc.
    16. Eckert,Fabian & Kleineberg,Tatjana Karina, 2021. "Saving the American Dream ? Education Policies in Spatial General Equilibrium," Policy Research Working Paper Series 9574, The World Bank.
    17. Hanushek, Eric & Yilmaz, Kuzey, 2007. "The complementarity of Tiebout and Alonso," Journal of Housing Economics, Elsevier, vol. 16(2), pages 243-261, June.
    18. Panebianco, Fabrizio, 2014. "Socialization networks and the transmission of interethnic attitudes," Journal of Economic Theory, Elsevier, vol. 150(C), pages 583-610.
    19. Kuzey Yılmaz & Muharrem Yeşilırmak, 2023. "Access to transportation, residential segregation, and economic opportunity," Contemporary Economic Policy, Western Economic Association International, vol. 41(1), pages 103-127, January.
    20. Tessa Bold, Mwangi Kimenyi, Germano Mwabu, Justin Sandefur, 2011. "Why Did Abolishing Fees Not Increase Public School Enrollment in Kenya?- Working Paper 271," Working Papers 271, Center for Global Development.
    21. Burgess, Simon & Briggs, Adam, 2010. "School assignment, school choice and social mobility," Economics of Education Review, Elsevier, vol. 29(4), pages 639-649, August.
    22. Anders Böhlmark & Helena Holmlund & Mikael Lindahl, 2016. "Parental choice, neighbourhood segregation or cream skimming? An analysis of school segregation after a generalized choice reform," Journal of Population Economics, Springer;European Society for Population Economics, vol. 29(4), pages 1155-1190, October.
    23. Strombotne, Kiersten L. & Fletcher, Jason M. & Schlesinger, Mark J., 2019. "Peer effects of obesity on child body composition," Economics & Human Biology, Elsevier, vol. 34(C), pages 49-57.
    24. Benoît Schmutz, 2015. "Spatial sorting of African Immigrants in the French Public Housing Market," The Review of Black Political Economy, Springer;National Economic Association, vol. 42(3), pages 247-270, September.

    More about this item

    Keywords

    sorting; peers; segregation; peer effects; school competition; vouchers;
    All these keywords.

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education

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