Department of Economics and Finance
University of Rome Tor Vergata
via Columbia 2, building B
Institutional Affiliations: University of Rome and IZA, CESifo, CEIS
Information about this author at RePEc
NBER Working Papers and Publications
|May 2014||In a Small Moment: Class Size and Moral Hazard in the Mezzogiorno|
with Joshua D. Angrist, Erich Battistin: w20173
An instrumental variables (IV) identification strategy that exploits statutory class size caps shows significant achievement gains in smaller classes in Italian primary schools. Gains from small classes are driven mainly by schools in Southern Italy, suggesting a substantial return to class size reductions for residents of the Mezzogiorno. In addition to high unemployment and other social problems, however, the Mezzogiorno is distinguished by pervasive manipulation of standardized test scores, a finding revealed in a natural experiment that randomly assigned school monitors. IV estimates also show that small classes increase score manipulation. Estimates of a causal model for achievement with two endogenous variables, class size and score manipulation, suggest that the effects of class siz...
Published: Joshua D. Angrist & Erich Battistin & Daniela Vuri, 2017. "In a Small Moment: Class Size and Moral Hazard in the Italian Mezzogiorno," American Economic Journal: Applied Economics, vol 9(4), pages 216-249.