School Financing, Teacher Wages and Educational Outcomes: Evidence from the Russian School System

27 Pages Posted: 24 Feb 2019

See all articles by Olga Lazareva

Olga Lazareva

National Research University Higher School of Economics

Andrey Zakharov

National Research University Higher School of Economics

Date Written: February 7, 2019

Abstract

In this study we test how the level of school financial resources and relative teacher wages affect educational outcomes. Russia provides a good opportunity for testing this relationship due to its high regional heterogeneity. We use two measures of educational outcomes at different levels of the school system. We find no significant effect of the school financing level. However, the level of relative teacher wages has significant positive effect on both test scores. This result is robust to instrumenting relative teacher wages with regional minimum wage levels. We also provide some evidence on the possible channels of this effect.

Keywords: School Financing, Teacher Wages, Educational Outcomes, Russia

JEL Classification: I22, J31, P36

Suggested Citation

Lazareva, Olga and Zakharov, Andrey, School Financing, Teacher Wages and Educational Outcomes: Evidence from the Russian School System (February 7, 2019). Available at SSRN: https://ssrn.com/abstract=3330548 or http://dx.doi.org/10.2139/ssrn.3330548

Olga Lazareva (Contact Author)

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 119017
Russia

Andrey Zakharov

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 119017
Russia

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