Discussion Paper Details

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Title: The Cost of Grade Retention

Author(s): Marco Manacorda

Publication Date: June 2010

Keyword(s): grade retention, regression discontinuity and school drop-out

Programme Area(s): Labour Economics and Public Economics

Abstract: This paper uses administrative longitudinal micro data on Junior High school students in Uruguay to measure the effect of grade failure on students? subsequent school outcomes. Exploiting the discontinuity induced by a rule establishing automatic grade failure for pupils with more than three failed subjects, I show that grade failure leads to substantial drop-out and lower educational attainment even four to five years after grade failure first occurred.

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Bibliographic Reference

Manacorda, M. 2010. 'The Cost of Grade Retention'. London, Centre for Economic Policy Research.