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Ordinal Rank and the Structure of Ability Peer Effects by Marco Bertoni; Roberto Nisticò is a Economics, Econometrics and Finance article available to read on EtoBox.

What is Ordinal Rank and the Structure of Ability Peer Effects about?

Exposure to high-ability peers entails positive learning externalities, but it also decreases students’ academic self-concept because of lower ordinal ability rank. We show that, as a result, the linear-in-means parameter identifies a composite (i.e., reduced form) effect. We illustrate the empirical relevance of this issue using data from two experiments that randomly assign students to groups. We find that the structural effect of mean peer ability estimated by a model that includes rank is much larger than the reduced form effect obtained when rank is omitted. This finding also holds in non-linear and heterogeneous peer effects models and helps clarify the mechanisms behind the effects of ability tracking policies.

Who reads Ordinal Rank and the Structure of Ability Peer Effects?

Author

Marco Bertoni; Roberto Nisticò

Publisher

Elsevier BV

Published

2023

Language

EN

Field

Economics, Econometrics and Finance (Social Sciences)