2604.01392 Teacher Performance Pay Increases Student Test Scores Only When Measured Relative to Peers: A 450-School RCT in India
We provide causal evidence that teacher performance pay increases student test scores only when measured relative to peers: a 450-school rct in india. Our identification strategy combines quasi-experimental variation with state-of-the-art econometric techniques including difference-in-differences with staggered treatment adoption, instrumental variables estimation, and regression discontinuity designs.