Making the (Letter) Grade: The Incentive Effects of Mandatory Pass/Fail Courses

46 Pages Posted: 23 Dec 2022

See all articles by Kristin Butcher

Kristin Butcher

Wellesley College

Patrick J. McEwan

Wellesley College, Department of Economics

Akila Weerapana

Wellesley College - Department of Economics

Multiple version iconThere are 2 versions of this paper

Date Written: November 1, 2022

Abstract

In Fall 2014, Wellesley College began mandating pass/fail grading for courses taken by first-year, first-semester students, although instructors continued to record letter grades. We identify the causal effect of the policy on course choice and performance, using a regression-discontinuity-in-time design. Students shifted to lower-grading STEM courses in the first semester, but did not increase their engagement with STEM in later semesters. Letter grades of first-semester students declined by 0.13 grade points, or 23% of a standard deviation. We evaluate causal channels of the grade effect—including sorting into lower-grading STEM courses and declining instructional quality—and conclude that the effect is consistent with declining student effort.

Keywords: Higher Education; Grading Policy; Research Institutions;

JEL Classification: I23

Suggested Citation

Butcher, Kristin and McEwan, Patrick J. and Weerapana, Akila, Making the (Letter) Grade: The Incentive Effects of Mandatory Pass/Fail Courses (November 1, 2022). FRB of Chicago Working Paper No. 2022-55, Available at SSRN: https://ssrn.com/abstract=4308264 or http://dx.doi.org/10.2139/ssrn.4308264

Kristin Butcher (Contact Author)

Wellesley College ( email )

106 Central St.
Wellesley, MA 02181
United States

Patrick J. McEwan

Wellesley College, Department of Economics ( email )

106 Central Street
Wellesley, MA 02481
United States

HOME PAGE: http://www.patrickmcewan.net

Akila Weerapana

Wellesley College - Department of Economics ( email )

106 Central Street
Wellesley, MA 02181
United States
(781)283-2300 (Phone)
(781)283-2177 (Fax)

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