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In the matching decision, student data are aggregated to class level, because a teacher is offered a “bundle” of students at the school. In the education production function, however, I allow a teacher to impact students individually. Table 1 summarizes the student, class, and school characteristics. I focus on grades 3, 4, and 5 for two reasons: (1) only grades 3 to 8 are tested, so there is no good way to measure teacher effectiveness for lower grades, and (2) middle school students in grades above 5 have several teachers throughout the day, and it is therefore difficult to assign credit to a particular teacher for education production due to spillover between subjects.

Table 1. 
Summary Statistics
Stationary Teachers (Mobile Teachers = New Entrants + Transfers)Transfers (2009)
FE reading 0.0024 (0.1100) −0.0028 (0.0968) −0.0018 (0.0944) −0.0047 (0.1010) 0.0189 (0.1165) 
FE mathematics 0.0056 (0.1718) −0.0027 (0.1582) −0.0015 (0.1559) −0.0050 (0.1623) 0.0170 (0.1696) 
Minority 0.2211 (0.4150) 0.2198 (0.4141) 0.2028 (0.4021) 0.2517 (0.4341) 0.1425 (0.3499) 
Female 0.9252 (0.2630) 0.8845 (0.3196) 0.8728 (0.3333) 0.9066 (0.2911) 0.9035 (0.2955) 
W/in district transfer       0.6808 (0.4663) 0.6162 (0.4868) 
Move to rural       −0.0088 (0.4128) −0.0175 (0.4541) 
Years of experience 15.1550 (12.00) 3.6539 (8.02) 0.0000 (0.00) 10.5092 (10.62) 11.8599 (10.06) 
Certified 0.0436 (0.2042) 0.0211 (0.1439) 0.0043 (0.0656) 0.0527 (0.2236) 0.0723 (0.2593) 
Class size 19.6430 (8.03) 18.5067 (8.45) 17.9590 (8.72) 19.5342 (7.82) 19.6383 (4.79) 
Class minority % 0.4665 (0.2805) 0.5210 (0.2908) 0.5373 (0.2904) 0.4632 (0.2891) 0.3870 (0.2879) 
Class female % 0.4650 (0.1639) 0.4495 (0.1879) 0.4422 (0.1973) 0.4632 (0.1679) 0.4988 (0.1154) 
Class low parent ed. % 0.4707 (0.2957) 0.5148 (0.3139) 0.5335 (0.3164) 0.4707 (0.3061)   
School minority % 0.4506 (0.2283) 0.4917 (0.2369) 0.5039 (0.2328) 0.4684 (0.2428) 0.3844 (0.2656) 
School female % 0.4896 (0.0337) 0.4854 (0.0371) 0.4896 (0.0368) 0.4895 (0.0375) 0.4993 (0.0416) 
School low parent ed. % 0.4492 (0.2028) 0.4740 (0.2127) 0.4862 (0.2104) 0.4510 (0.2151)   
Expected bonus 787.67 (171.01) 761.68 (184.95) 750.06 (184.29) 783.49 (184.26)   
Observations 17,177 6,434 4,197 2,237 456 
Stationary Teachers (Mobile Teachers = New Entrants + Transfers)Transfers (2009)
FE reading 0.0024 (0.1100) −0.0028 (0.0968) −0.0018 (0.0944) −0.0047 (0.1010) 0.0189 (0.1165) 
FE mathematics 0.0056 (0.1718) −0.0027 (0.1582) −0.0015 (0.1559) −0.0050 (0.1623) 0.0170 (0.1696) 
Minority 0.2211 (0.4150) 0.2198 (0.4141) 0.2028 (0.4021) 0.2517 (0.4341) 0.1425 (0.3499) 
Female 0.9252 (0.2630) 0.8845 (0.3196) 0.8728 (0.3333) 0.9066 (0.2911) 0.9035 (0.2955) 
W/in district transfer       0.6808 (0.4663) 0.6162 (0.4868) 
Move to rural       −0.0088 (0.4128) −0.0175 (0.4541) 
Years of experience 15.1550 (12.00) 3.6539 (8.02) 0.0000 (0.00) 10.5092 (10.62) 11.8599 (10.06) 
Certified 0.0436 (0.2042) 0.0211 (0.1439) 0.0043 (0.0656) 0.0527 (0.2236) 0.0723 (0.2593) 
Class size 19.6430 (8.03) 18.5067 (8.45) 17.9590 (8.72) 19.5342 (7.82) 19.6383 (4.79) 
Class minority % 0.4665 (0.2805) 0.5210 (0.2908) 0.5373 (0.2904) 0.4632 (0.2891) 0.3870 (0.2879) 
Class female % 0.4650 (0.1639) 0.4495 (0.1879) 0.4422 (0.1973) 0.4632 (0.1679) 0.4988 (0.1154) 
Class low parent ed. % 0.4707 (0.2957) 0.5148 (0.3139) 0.5335 (0.3164) 0.4707 (0.3061)   
School minority % 0.4506 (0.2283) 0.4917 (0.2369) 0.5039 (0.2328) 0.4684 (0.2428) 0.3844 (0.2656) 
School female % 0.4896 (0.0337) 0.4854 (0.0371) 0.4896 (0.0368) 0.4895 (0.0375) 0.4993 (0.0416) 
School low parent ed. % 0.4492 (0.2028) 0.4740 (0.2127) 0.4862 (0.2104) 0.4510 (0.2151)   
Expected bonus 787.67 (171.01) 761.68 (184.95) 750.06 (184.29) 783.49 (184.26)   
Observations 17,177 6,434 4,197 2,237 456 

Notes: NCERDC data from 1998—99 to 2002—03 for first four columns. NCERDC data from 2009—10 for the last column. FE: fixed effect, calculated from an education production function. Low parental education is defined as high school degree or below, not available for 2009 data.

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