Felipe Barrera-Osorio

The role and impact of public-private partnerships in education

The book examines five ways through which public-private contracts can help countries meet education goals. First, public-private partnerships can increase access to good quality education for all, especially for poor children who live in remote, underserved communities and for children in minority populations. Second, lessons for innovative means of financing education can be particularly helpful in post-conflict countries undergoing reconstruction. Third, lessons about what works in terms of public-private partnerships contribute to the development of a more differentiated business model especially for middle-income countries. Fourth, the challenge of meeting the education Millennium Development Goals in less than a decade is a daunting one in the poorest countries. Understanding new partnership arrangements within a broad international aid architecture in education can help bring us closer to those goals. Fifth, some very innovative public-private partnership arrangements are happening in Arab countries, and lessons can be drawn from their experience.

Decentralized Decision-making in Schools: The Theory and Evidence on School-based Management

The school-based management (SBM) has become a very popular movement over the last decade. The World Banks work on school-based management emerged from a need to better define the concept, review the evidence, support impact assessments in various countries, and provide feedback to project teams. The authors took detailed stock of the existing literature on school-based management and then identified several cases that the Bank was supporting in various countries. The authors present as well general guidance on how to evaluate school-based management programs. The Bank continues to support and oversee a number of impact evaluations of school-based management programs in an array of countries. Despite the clear commitment of governments and international agencies to the education sector, efficient, and equitable access remains elusive for many populations - especially for girls, indigenous peoples, and other poor and marginalized groups. Many international initiatives focus on these access issues with great commitment, but even where the vast majority of children do have access to education facilities, the quality of that education often is very poor. This fact increasingly is apparent in the scores from international learning assessments on which most students from developing countries do not excel. Evidence has shown that merely increasing resource allocation without also introducing institutional reforms in the education sector will not increase equity or improve the quality of education. One way to decentralize decision-making power in education is known popularly as SBM. There are other names for this concept, but they all refer to the decentralization of authority from the central government to the school level. SBM emphasizes the individual school (represented by any combination of principals, teachers, parents, students, and other members of the school community) as the main decision-making authority, and holds that this shift in the formulating of decisions will lead to improvement in the delivery of education.

The Impact of Private Provision of Public Education : Empirical Evidence from Bogota's Concession Schools

In 1999 the city of Bogota, Colombia launched the concession school program designed to broaden the coverage and quality of basic education. It consists of a contract between a group of private schools and the public educational system such that private agents provide education for low-income students. This paper tests three main hypotheses concerning the impact of concessions on the quality of education: first, dropout rates are lower in concession schools than in similar public schools; second, other public schools nearby the concession schools have lower dropout rates in comparison with other public schools outside the area of influence; and third, test scores from concession schools are higher than scores in similar public schools. The paper presents evidence in favor of the three hypotheses using propensity score and matching estimators.

Does society win or lose as a result of privatization? The case of water sector privatization in Colombia.

This paper evaluates the impact of water sector privatization in Colombia on access, price and water quality, as well as health outcomes using differences‐in‐differences methodology. The main findings of the impact of water privatization are: (i) an improvement in the quality of water and an increase in the frequency of the service in privatized urban municipalities for the lower quintiles; (ii) a positive effect on health outcomes in both urban and rural areas; (iii) a negative effect on payment for the lower quintiles; and (iv) strong negative effects on access to water in rural areas. Some of these effects appear in municipalities with better technical capacity.

Incentivizing Schooling for Learning: Evidence on the Impact of Alternative Targeting Approaches

We evaluate a primary school scholarship program in Cambodia with two different targeting mechanisms, one based on poverty level and the other on baseline test scores (“merit”). Both approaches increased enrollment and attendance. Only the merit-based targeting induced positive effects on test scores. This asymmetry is unlikely to have been driven by differences in recipients’ characteristics. We marshal evidence suggesting that the framing of the scholarships might have led to different impacts. In order to balance equity and efficiency, a two-step targeting approach might be preferable: first, identify low-income individuals, and then, among them, target based on merit.

Emerging evidence on vouchers and faith-based providers in education : case studies from Africa, Latin America, and Asia

The case studies in this book provide useful information on the characteristics of students and the performance of various types of schools that benefit from public-private partnerships. While these case studies are empirically grounded, their results are not necessarily of universal application, because context also matters. The authors are careful to point out that while one of the case studies is based on an experiment, the other case studies use instruments or matching methods that have their limitations. Yet a key result from this work is that sound analyses of existing data are feasible and can yield useful conclusions about the contribution that private service providers can offer to educational development. These case studies will encourage more researchers to undertake similar work to demonstrate the many options that developing countries have to reach their education goals.

Evaluating public per-student subsidies to low-cost private schools : regression-discontinuity evidence from Pakistan

This study estimates the causal effects of a public per-student subsidy program targeted at low-cost private schools in Pakistan on student enrollment and schooling inputs. Program entry is ultimately conditional on achieving a minimum stipulated student pass rate (cutoff) in a standardized academic test. This mechanism for treatment assignment allows the application of regression-discontinuity (RD) methods to estimate program impacts at the cutoff. Data on two rounds of entry test takers (phase 3 and phase 4) are used. Modeling the entry process of phase-4 test takers as a sharp RD design, the authors find evidence of large positive impacts on the number of students, teachers, classrooms, and blackboards. Modeling the entry process of phase-3 test takers as a partially-fuzzy RD design given treatment crossovers, they do not find evidence of significant program impacts on outcomes of interest. The latter finding is likely due to weak identification arising from a small jump in the probability of treatment at the cutoff.

Using the Oaxaca-Blinder Decomposition Technique to Analyze Learning Outcomes Changes Over Time: An Application to Indonesia's Results in PISA Mathematics

The Oaxaca-Blinder technique was originally used in labor economics to decompose earnings gaps and to estimate the level of discrimination. It has been applied since in other social issues, including education, where it can be used to assess how much of a gap is due to differences in characteristics (explained variation) and how much is due to policy or system changes (unexplained variation). The authors apply the decomposition technique in an effort to analyze the increase in Indonesias score in PISA mathematics. Between 2003 and 2006, Indonesias score increased by 30 points, or 0.3 of a standard deviation. The test score increase is assessed in relation to family, student, school and institutional characteristics. The gap over time is decomposed into its constituent components based on the estimation of cognitive achievement production functions. The decomposition results suggest that almost the entire test score increase is explained by the returns to characteristics, mostly related to student age. However, the authors find that the adequate supply of teachers also plays a role in test score changes.

Short-Run Learning Dynamics Under a Test-Based Accountability System: Evidence from Pakistan

Low student learning is a common finding in much of the developing world. This paper uses a relatively unique dataset of five semiannual rounds of standardized test data to characterize and explain the short-term changes in student learning. The data are collected as part of the quality assurance system for a public-private partnership program that offers public subsidies conditional on minimum learning levels to low-cost private schools in Pakistan. Apart from a large positive distributional shift in learning between the first two test rounds, the learning distributions over test rounds show little progress. Schools are ejected from the program if they fail to achieve a minimum pass rate in the test in two consecutive attempts, making the test high stakes. Sharp regression discontinuity estimates show that the threat of program exit on schools that barely failed the test for the first time induces large learning gains. The large change in learning between the first two test rounds is likely attributable to this accountability pressure given that a large share of new program entrants failed in the first test round. Schools also qualify for substantial annual teacher bonuses if they achieve a minimum score in a composite measure of student test participation and mean test score. Sharp regression discontinuity estimates do not show that the prospect of future teacher bonus rewards induces learning gains for schools that barely did not qualify for the bonus.

Does Society Win or Lose as a Result of Privatization? The Case of Water Sector Privatization in Colombia

This paper studies the effects of water sector privatization on consumers’ welfare in 46 municipalities in Colombia. First, the privatization process is described. Second, the paper evaluates the impact of privatization on access, price, and quality of water as well as health outcomes using differences-in-differences methodology with variation across time (before and after privatization) and between treatment and control groups (privatized and non-privatized municipalities) and controlling for household and municipality characteristics. The results show positive effects of privatization, in particular in urban areas. There are four main results: (i) Privatization in urban areas increases access, has positive effects on the quality measured as the need for treatment and the aspect of the water (e. g. , presence of particles in the water), and improves health outcomes, as well as improves the frequency of the service for the lower quintiles. (ii) Privatization increases the price of water in the lower quintiles, although these effects may be the result of the joint implementation of privatization and the elimination of cross subsidies. (iii) In privatized municipalities with better governmental technical capacities there are positive effects on access, prices and quality. (iv) the positive effects of privatization in rural areas on the frequency of the service and on health outcomes are outweighed by negative impacts on access and prices. These results suggest that the benefits found in urban areas should be expanded to rural areas, and that the service should be more targeted toward the poorest.