Indian Study Reveals Performance Pay Works

by Mike Smith · 2009-09-30 10:01:00 UTC
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Experimental evidence from a massive trial in India reveals that performance pay was highly effective in increasing learning. Of course, this could be a simple case of teaching the test; but in math and language tests, students in incentive schools performed significantly better. And there were apparently no adverse effects to incentives. In addition, scores rose in both rote learning and the more conceptual aspects of the test. If it worked so well in India, the same thing could work in American schools, right?

The performance pay schools fared favorably compared to control groups and also to schools given extra money or extra teachers. It generally takes until the second year for the difference to be noted. But of course, this may simply be because teachers get better at teaching to the test by year two, results that may degrade over time and not actually make students much smarter, just better at tests. As the cheapest way of making schools more successful, it may yet win out over investment in resources and curriculum reform.

[Photo credit: Mckaysavage]

Mike Smith is associate editor at Change.org.
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