Licensure Requirements and Regional Equilibrium in Teacher Labor Markets
50 Pages Posted: 11 Apr 2019
Date Written: September 6, 2018
This article explores the effects of a 2010 reform in Illinois that substantially increased the difficulty of passing a required basic skills test for all Illinois college students seeking a teaching certification. The policy led to a 33 percent decrease in education program enrollments and a 27 percent decrease in education degrees conferred in-state, with the decline concentrated among less-selective institutions, a significant source of new teachers in the pre-reform period. The hiring of teachers trained in-state at these schools declined by 5 percent but was matched by an increase in the hiring of teachers trained out-of-state, who were not affected by the policy for its first two years. The average ACT score of a region's universities and its proximity to the state border appear to be important factors in the magnitude of the shift to out-of-state trained teachers, suggesting that the local nature of teacher labor markets differentially exposed regions to the effects of the reform.
Keywords: Teacher Quality, Occupational Licensing, Education Reform
JEL Classification: I21, J24, J45
Suggested Citation: Suggested Citation