TY - JOUR AU - Arcidiacono,Peter AU - Nicholson,Sean TI - Peer Effects in Medical School JF - National Bureau of Economic Research Working Paper Series VL - No. 9025 PY - 2002 Y2 - June 2002 UR - http://www.nber.org/papers/w9025 L1 - http://www.nber.org/papers/w9025.pdf N1 - Author contact info: Peter Arcidiacono Department of Economics 201A Social Sciences Building Duke University Durham, NC 27708 Tel: 919/660-1816 Fax: 919/684-8974 E-Mail: psarcidi@econ.duke.edu Sean Nicholson Professor Department of Policy Analysis and Management Cornell University 102 Martha Van Rensselaer Hall Ithaca, NY 14853 Tel: 607/254-6498 Fax: 607/255-4071 E-Mail: sn243@cornell.edu AB - Using data on the universe of students who graduated from U.S. medical schools between 1996 and 1998, we examine whether the abilities and specialty preferences of a medical school class affect a student's academic achievement in medical school and his choice of specialty. We mitigate the selection problem by including school-specific fixed effects, and show that this method yields an upper bound on peer effects for our data. We estimate positive peer effects that disappear when school-specific fixed effects are added to control for the endogeneity of a peer group. We find no evidence that peer effects are stronger for blacks, that peer groups are formed along racial lines, or that students with relatively low ability benefit more from their peers than students with relatively high ability. However, we do find some evidence that peer groups form along gender lines. ER -