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The importance of relative performance feedback information: evidence from a natural experiment using high school students

Azmat, Ghazala and Iriberri, Nagore (2009) The importance of relative performance feedback information: evidence from a natural experiment using high school students. CEP Discussion Paper, No. 915. Centre for Economic Performance, London School of Economics and Political Science, London, UK. ISBN 9780853283485

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Identification Number: No. 915

Abstract

We study the effect of providing relative performance feedback information on performance under piece-rate incentives. A natural experiment that took place in a high school offers an unusual opportunity to test this effect in a real-effort setting. For one year only, students received information that allowed them to know whether they were above (below) the class average as well as the distance from this average. We exploit a rich panel data set and find that the provision of this information led to an increase of 5% in students’ grades. Moreover, the effect was significant for the whole distribution. However, once the information was removed the effect disappeared. To rule out the concern that the effect may be driven by teachers within the school, we verify our results using national level exams (externally graded) for the same students, and the effect remains.

Item Type: Monograph (Discussion Paper)
Official URL: http://cep.lse.ac.uk/
Additional Information: © 2009 The authors
Subjects: L Education > LB Theory and practice of education > LB1603 Secondary Education. High schools
H Social Sciences > HB Economic Theory
B Philosophy. Psychology. Religion > BF Psychology
Sets: Collections > Economists Online
Research centres and groups > Centre for Economic Performance (CEP)
Series: Working Papers > CEP Discussion Papers
Date Deposited: 06 Jul 2010 16:17
Last Modified: 14 Nov 2012 10:19
URI: http://eprints.lse.ac.uk/id/eprint/28520

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