The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India

The relative return to strategies that augment inputs versus those that reduce inefficiencies remains a key open question for education policy in low-income countries. Using a new nationally-representative panel dataset of schools across 1297 villages in India, we show that the large public investme...

Full description

Bibliographic Details
Main Authors: Muralidharan, Karthik, Das, Jishnu, Holla, Alaka, Mohpal, Aakash
Format: Journal Article
Published: Elsevier 2018
Subjects:
Online Access:http://hdl.handle.net/10986/29313
id okr-10986-29313
recordtype oai_dc
spelling okr-10986-293132021-05-25T10:54:43Z The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India Muralidharan, Karthik Das, Jishnu Holla, Alaka Mohpal, Aakash EDUCATION TEACHER ABSENTEEISM GOVERNANCE STATE CAPACITY MONITORING RURAL SCHOOLS The relative return to strategies that augment inputs versus those that reduce inefficiencies remains a key open question for education policy in low-income countries. Using a new nationally-representative panel dataset of schools across 1297 villages in India, we show that the large public investments in education over the past decade have led to substantial improvements in input-based measures of school quality, but only a modest reduction in inefficiency as measured by teacher absence. In our data, 23.6% of teachers were absent during unannounced school visits, and we estimate that the salary cost of unauthorized teacher absence is $1.5 billion/year. We find two robust correlations in the nationally-representative panel data that corroborate findings from smaller-scale experiments. First, reductions in student-teacher ratios are correlated with increased teacher absence. Second, increases in the frequency of school monitoring are strongly correlated with lower teacher absence. Using these results, we show that reducing inefficiencies by increasing the frequency of monitoring could be over ten times more cost effective at increasing the effective student-teacher ratio than hiring more teachers. Thus, policies that decrease the inefficiency of public education spending are likely to yield substantially higher marginal returns than those that augment inputs. 2018-02-05T17:08:10Z 2018-02-05T17:08:10Z 2017-01 Journal Article Journal of Public Economics 0047-2727 http://hdl.handle.net/10986/29313 CC BY 4.0 http://creativecommons.org/licenses/by/4.0 World Bank Elsevier Publications & Research :: Journal Article Publications & Research South Asia India
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
topic EDUCATION
TEACHER ABSENTEEISM
GOVERNANCE
STATE CAPACITY
MONITORING
RURAL SCHOOLS
spellingShingle EDUCATION
TEACHER ABSENTEEISM
GOVERNANCE
STATE CAPACITY
MONITORING
RURAL SCHOOLS
Muralidharan, Karthik
Das, Jishnu
Holla, Alaka
Mohpal, Aakash
The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India
geographic_facet South Asia
India
description The relative return to strategies that augment inputs versus those that reduce inefficiencies remains a key open question for education policy in low-income countries. Using a new nationally-representative panel dataset of schools across 1297 villages in India, we show that the large public investments in education over the past decade have led to substantial improvements in input-based measures of school quality, but only a modest reduction in inefficiency as measured by teacher absence. In our data, 23.6% of teachers were absent during unannounced school visits, and we estimate that the salary cost of unauthorized teacher absence is $1.5 billion/year. We find two robust correlations in the nationally-representative panel data that corroborate findings from smaller-scale experiments. First, reductions in student-teacher ratios are correlated with increased teacher absence. Second, increases in the frequency of school monitoring are strongly correlated with lower teacher absence. Using these results, we show that reducing inefficiencies by increasing the frequency of monitoring could be over ten times more cost effective at increasing the effective student-teacher ratio than hiring more teachers. Thus, policies that decrease the inefficiency of public education spending are likely to yield substantially higher marginal returns than those that augment inputs.
format Journal Article
author Muralidharan, Karthik
Das, Jishnu
Holla, Alaka
Mohpal, Aakash
author_facet Muralidharan, Karthik
Das, Jishnu
Holla, Alaka
Mohpal, Aakash
author_sort Muralidharan, Karthik
title The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India
title_short The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India
title_full The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India
title_fullStr The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India
title_full_unstemmed The Fiscal Cost of Weak Governance : Evidence from Teacher Absence in India
title_sort fiscal cost of weak governance : evidence from teacher absence in india
publisher Elsevier
publishDate 2018
url http://hdl.handle.net/10986/29313
_version_ 1764469029933678592