January 2004

IZA DP No. 994: School Quality, Educational Attainment and Aggregation Bias

published in: Economics Letters, 2005, 88 (1), 109-114

Data from 31 countries participating in the Programme for International Student Assessment (PISA) is used to estimate education production functions for reading literacy. The analysis suggests that the probability of finding statistically significant and correctly signed class size effects increases the higher the level of aggregation used to measure class size.