The Effects of Performance-Based Teacher Pay on Student Achievement

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I evaluate the effects on student achievement of the Teacher Advancement Program (TAP), a school-level intervention that offers teachers professional development resources and performance-based compensation. Because TAP typically targets low-performing schools, assignment to the intervention is nonrandom. I use synthetic control matching methods to circumvent this selection bias. I then use a difference-in-differences model to estimate the effects of TAP on state achievement exam scores in reading and mathematics. I find that students in TAP schools outperform students in comparison schools by roughly one-fifth of a standard deviation in mathematics. I find mixed results in reading.


Type of resource text
Date created May 2010


Author Hudson, Sally
Primary advisor Hoxby, Caroline
Degree granting institution Stanford University, Department of Economics


Subject Stanford Department of Economics
Subject teacher pay
Subject performance-based pay
Subject synthetic control matching
Genre Thesis

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Hudson, Sally. (2010). The Effects of Performance-Based Teacher Pay on Student Achievement. Stanford Digital Repository. Available at:


Stanford University, Department of Economics, Honors Theses

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