School System Evaluation By Value-added Analysis Under Endogeneity

Value-added analysis is a common tool in analyzing school performances. In this paper, the authors analyze the SIMCE panel data which provides individual scores of about 200,000 students in Chile, and whose aim is to rank schools according to their educational achievement. Based on the data collection procedure and on empirical evidences, they argue that the erogeneity of some covariates is questionable. This means that a non vanishing correlation appears between the school-specific effect and some covariates.