After the Big Bang: Estimating the effects of decentralization on educational outcomes in Indonesia through a difference-in-differences analysis. (July 2016)

• Record Type: Journal Article
• Authors: Leer, Jane
• Is Part Of: International journal of educational development. Volume 49(2016)
• Page Start: 80
• Page End: 90
• Publication Date: 2016-07
• Subjects: Decentralization -- School-based management -- Difference-in-differences -- Teacher effort -- Student achievement -- Educational policy; Education -- Periodicals; Education -- Social aspects -- Periodicals; Education -- Economic aspects -- Periodicals; Education -- Periodicals; Éducation -- Périodiques; Education; Periodicals; 370.11
• DOI: 10.1016/j.ijedudev.2016.02.005
• Languages: English
• ISSNs: 0738-0593

Abstract

Highlights: I compare changes in achievement and teacher effort before and after decentralization between Ministry of Education schools and private schools in Indonesia. I find no overall effect of decentralization on achievement, but a weak negative effect on math achievement among schools with inactive school committees. I find a negative effect on teacher effort, as measured by the number of hours that teachers spend in the classroom per week. The negative effects of decentralization on teacher effort are strongest among rural schools and schools with inactive school committees. Abstract: Proponents of decentralization argue that bringing decisions closer to the people improves school quality and efficiency by ensuring that schools are more responsive to local educational needs. In practice, the effects of decentralization vary substantially, given that the implementation of these reforms relies on local resources and management capacity. In this paper, I estimate the effects of decentralization on educational outcomes in Indonesia using a difference-in-differences model. I find no overall effect on achievement, but a negative effect on teacher effort, particularly in rural areas and among schools with inactive school committees.