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Social policy gone bad educationally: unintended peer effects from transferred students

Genakos, Christos and Kyrkopoulou, Eleni (2022) Social policy gone bad educationally: unintended peer effects from transferred students. CEP Discussion Papers (1851). London School of Economics and Political Science. Centre for Economic Performance, London, UK.

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Policy makers frequently use education as a welfare policy instrument. We examine one such case, where students from large and financially constrained families, were given the opportunity to be transferred to university departments in their hometown as part of the social policy of the Ministry of Education in Greece. Multiple law changes meant that there was a large and quasi-random variability in the number of transferred students over time, which was orthogonal to the quality of receiving students. We construct a novel dataset by linking students' characteristics and pre-university academic performance with their university academic record until graduation for the top economics department. We present consistent evidence showing how a social policy that is meant to help poor families and to alleviate inequalities has gone bad educationally, by lowering the academic performance of receiving students.

Item Type: Monograph (Discussion Paper)
Official URL:
Additional Information: © 2022 The Authors
Divisions: Centre for Economic Performance
Subjects: H Social Sciences > HB Economic Theory
H Social Sciences > HC Economic History and Conditions
L Education > L Education (General)
JEL classification: H - Public Economics > H5 - National Government Expenditures and Related Policies > H52 - Government Expenditures and Education
I - Health, Education, and Welfare > I2 - Education > I20 - General
Date Deposited: 13 Jan 2023 13:36
Last Modified: 15 Sep 2023 23:58

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