29
Inequality in the 21 st Century: The Declining Significance of Discrimination Roland G. Fryer, Jr. Robert M. Beren Professor of Economics Harvard University EdLabs NBER

Inequality in the 21st Century: The Declining Significance of Discrimination

Embed Size (px)

DESCRIPTION

Roland Fryer (Harvard University), winner of the Calvó-Armengol International Prize, delivered this lecture at the Barcelona Graduate School of Economics on May 31, 2012 as part of the Prize activities. About the Calvó Prize: http://www.barcelonagse.eu/Calvo-Armengol-Prize.html

Citation preview

Page 1: Inequality in the 21st Century: The Declining Significance of Discrimination

Inequality in the 21st Century:The Declining Significance of Discrimination

Roland G. Fryer, Jr.Robert M. Beren Professor of Economics

Harvard UniversityEdLabsNBER

Page 2: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Among cities that participate in NAEP, the magnitude of racial differences in educational achievement is startling.

Overview The Achievement Gap

Albuquerque

Atlanta

Austin

Baltimore

Boston

Charlotte

Chicago

Clevela

ndDall

as

Detroit

Distric

t of C

olumbia

Fresn

o

Hillsboro

ugh County

(FL)

Houston

Jeffers

on County (KY)

Los A

ngeles

Miami-D

ade

Milwau

kee

New Yo

rk City

Philadelp

hia

San Dieg

o0

20

40

60

80

100

Percent Proficient, 8th Grade Math, NAEP 2011

whiteblackHispanic

Albuquerque

Atlanta

Austin

Baltimore

Boston

Charlotte

Chicago

Clevela

ndDall

as

Detroit

Distric

t of C

olumbia

Fresn

o

Hillsboro

ugh County

(FL)

Houston

Jeffers

on County (KY)

Los A

ngeles

Miami-D

ade

Milwau

kee

New Yo

rk City

Philadelp

hia

San Dieg

o0

102030405060708090

100

Percent Proficient, 8th Grade Reading, NAEP 2011

whiteblackHispanic

Page 3: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL 3

OverviewEducation and Later-Life Outcomes

Accounting for educational achievement drastically reduces racial and socioeconomic inequality across a wide range of important life outcomes.

Wages Unemployment Have Savings Less than 10K in savings

Negative Net Worth

Do not own home Any College Public Assistance-50%

0%

50%

100%

150%

200%

250%

300%

28%

190%

283%

250%

87%

234%

-27%

141%

0.6%

90% 87%76%

42%

114%

137%

33%

Black-White Differences in Economic Outcomes (NLSY79)Before and After Controlling for 8th Grade Test Scores

Raw B/W Gap After controlling for AFQT

Page 4: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL 4

Teen Pregnancy Child out of wedlock0%

20%

40%

60%

80%

100%

120%

140%

0%100%200%300%400%500%600%700%800%900%126%

20%

820%

514%

Social Outcomes

Raw B/W Gap After controlling for AFQT

SF-12 Mental and Physical Health Index0.00

0.05

0.10

0.15

0.20

0.25

0.20 SD

0.059 SD

Health Outcomes

Raw B/W Gap After controlling for AFQT

Violent Crime Incarceration0%

20%40%60%80%

100%120%140%160%180%200%

68%

182%

25%38%

Crime Outcomes

Raw B/W Gap After controlling for AFQT

OverviewEducation and Later-Life Outcomes

Page 5: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL 5

Nearly 30% of the population

0.8 s.d. behind their white peers in math

and reading

there is a 1.2%-2% growth premium for a 1

s.d. increase in academic achievement

Based upon Calculations from McKinsey (2009)

The racial achievement gap cost $310 -$525 billion in lost GDP in 2008

---------------------------------------------------------And $1.5 – $2.5 trillion

cumulatively from 1998-2008

What if we could have eliminated the racial achievement

gap by 1998?

is

and

OverviewEconomic Impacts

Page 6: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL 6

South Korea

Finlan

d

Switz

erlan

dJap

an

Canad

a

Netherl

ands

New Ze

aland

Belgium

Australi

a

German

y

Estonia

Icelan

d

Denmark

Slove

nia

Norway

France

Slova

k Rep

ublic

Austria

Poland

Swed

en

Czech Rep

ublic

United Kingd

om

Hungary

Luxe

mbourg

United St

ates

Irelan

d

Portuga

lSp

ain Italy

Greece

Israe

l

Turke

yChile

Mexico

400

450

500

550

600

Mathematics Literacy Among 15-Year-Olds, 2009

Luxe

mbourg

Switz

erlan

d

Norway

United St

ates

Austria

Denmark

Icelan

d

Swed

en

United Kingd

om

Netherl

ands

Belgium

France

Canad

aJap

an

Irelan

dIta

lySp

ain

Australi

a

German

y

Finlan

d

South Korea

Portuga

l

New Ze

aland

Czech Rep

ublic

Hungary

Poland

Slova

k Rep

ublicChile

Mexico

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

$16,000

Annual Expenditure Per Student, 2007

OECD Average

Source: OECD, Program for International Student Assessment (PISA), 2009

Source: Education at a Glance 2010: OECD Indicators

United States vs. OECD Countries

OECD Average

OverviewInternational Results

Page 7: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL 7

On average, American students lag 0.75 s.d.

behind their top ranked international peers on the

PISA test

there is a 1.2%-2% growth premium for a 1 s.d. increase in academic

achievement

Based upon Calculations from McKinsey (2009)

The international achievement gap cost $1.3 -$2.3 trillion in lost GDP in 2008

What if we could have closed the

international achievement gap

By 1998?

OverviewEconomic Impacts

Page 8: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

• Test Score Gap Does Not Exist at 9 months old• The correlation between 9 month old scores and 12 year old scores is 0.3• Black kids lose ground starting at age 2

Basic Facts

Page 9: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

• Black kids enter kindergarten 0.64 SD (or 8 months) behind their white peers• The gap can be accounted for by 13 simple variables that proxy for Pre-K home environment• The gap grows 0.1 SD per year from Kindergarten through eighth grade• We don’t really know why

Basic Facts

9 months Pre-K Kindergarten 1st grade 3rd Grade 5th Grade 8th grade0

2

4

6

8

10

12

14

The Evolution of the Racial Achievement Gap through 8th grade

Months behind in math Months behind in reading

Page 10: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Possible Explanations

We tested dozens of hypotheses, including:

• Poor parenting• Racist Teachers• Summer Setback• Flawed Standardized Tests• School Quality

16%

75%

41% 45%

17%

49%

9%

48%

0%10%20%30%40%50%60%70%80%

Spank child Give child a "time-out"

How parents respond to misbehavior, by race

White

Black

Hispanic

Asian

0.093 0.090.103 0.097

0

0.05

0.1

0.15

0.2

Reading Reading, accounting for

parenting

Math Math, accounting for

parenting

Lost ground from Fall Kindergarten to Spring 1st grade, before and after accounting for parenting practices,

ECLSK

Lost Ground

Page 11: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

19701972

19741976

19781980

19821984

19861988

19901992

19941996

19982000

20022004

20062008

14:1

16:1

18:1

20:1

22:1

24:1 22.3 :1

20.4 :1

18.7 :1

17.9 :117.2 :1 17.3 :1

16.0 :1 15.6 :1

Student to Teacher Ratio

19701972

19741976

19781980

19821984

19861988

19901992

19941996

19982000

20022004

2006$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$5,243$6,049 $6,268

$7,347

$8,790 $8,949

$10,508$11,438

Total Expenditure Per Pupil (2008-09 $))$12,116

1961 1971 1981 1991 2001 20060%

10%20%30%40%50%60%70%80%90%

100%

23.5% 27.5%49.6% 53.1% 56.8% 61.8%

Percentage of Teachers with a Master's Degree or Higher

1971 1975 1980 1984 1988 1990 1994 1996 1999 2004 2008175

200

225

250

275

300

325Reading and Math Achievement of 9, 13, and 17 year-olds,

1971-2008

9 year-olds13 year-olds17 year-olds

Conventional Wisdom Seems Ineffective

Page 12: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Distributed a total of $10 million to kids in 5 cities.A. Input Experiments

• Dallas• Houston• Washington DC

B. Output Experiments• New York City• Chicago

• Teacher Incentives

Financial Incentives

Page 13: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Financial Incentives

Page 14: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Financial Incentives

Page 15: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

The Achievement Gap

-0.2

0

0.2

0.4

0.6

0.8

1 Past Interventions vs. the Racial Achievement Gap

Ann

ual T

reat

men

t Eff

ect

on S

tude

nt A

chie

vem

ent

(in S

D u

nits

)

Page 16: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Results From High-Performing Charters

Harlem Children’s

Zone

Page 17: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Results From Charter Schools

NYC Chart

ers ES

/MS/H

S (Hoxb

y and M

urarka

2009)

National

Sample

ES/M

S/HS (

CREDO 2010)

National

Sample

MS (Math

emati

ca 2010)

40 CMOs ES/M

S/HS (

Mathem

atica

2011)

Harlem

Children

's Zone E

S (Dobbie

and Fr

yer 2

011)

Harlem

Children

's Zone M

S (Dobbie

and Fr

yer 2

011)

Mass. C

harters

* MS (

Abdulkadiro

glu et

al. 2

011)

Mass. C

harters

* HS (

Abdulkadiro

glu et

al. 2

011)

SEED

Boarding S

chools M

S/HS (

Curto an

d Frye

r 2011)

KIPP Lynn M

S (Angri

st et

al. 2010)

All KIPP M

S (Math

emati

ca 2010)

Houston Public

Turn

around (F

ryer 2

011)-0.1

0

0.1

0.2

0.3

0.4

0.5

0.6

Math

Reading

Notes: Solid bars represent experimental estimates. Striped bars represent quasi-experimental estimates. *Oversubscribed Schools only.

A. Broad Sur-veys

B. Studies of High-Performing Schools

Page 18: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Finding the Vaccine

Class S

ize

Per Pupil E

xpen

diture

Teach

ers w

ith no ce

rtificati

on

Teach

ers w

ith M

A+Index

Teach

er Fe

edback

Data-D

riven

Instr

uction

Tutorin

g

Instructi

onal Tim

e

High-Ex

pectati

onsIndex

-0.50

-0.25

0.00

0.25

0.50

0.75

1.00

-0.41

0.01

-0.40-0.45

-0.31

0.79 0.75

0.93

0.800.70

0.59

Traditional vs. Non-Traditional School Inputs and School Effectiveness

Average Correlation with Reading and Math Effectiveness (in months of schooling)

Mon

ths o

f Sch

oolin

g

vs.

Page 19: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

The key goal is to translate charter schools’ successful policies into common principles and then transplant them into traditional public schools. To this end, EdLabs initiated a multi-year study of NYC charters that determined that the following five policies and practices have the greatest correlation with student achievement:

More Time in School• Extended day, week, and school years are all integral components of successful school

models. In the case of Harlem Children’s Zone’s Promise Academy, students have nearly doubled the amount of time on task compared to students in NYC public schools.

Small Group Tutoring• In top performing schools, classroom instruction is supplemented by individualized

tutoring, both after school and during the regular school day.

Human Capital Management • Successful charters reward teachers for performance and hold them accountable if

they are not adding value.

Data Driven Instruction and Student Performance Management• In the top charter schools, students are assessed frequently, and then, in small groups,

re-taught the skills they have not yet mastered.

Culture and Expectations• In successful schools, students buy into the school’s mission and into the importance of

their education in improving their lives.

An Experiment in Houston: The Five Tenets

Page 20: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

ImplementationIncreased Time in School

The school day was extended in Apollo schools during the 2010-11 school year: 7:45am – 4:15pm Monday through Thursday, and 7:45am – 3:15pm on Fridays. This was an average of an hour longer per school day.The school year was extended by five school days. Apollo students reported for school on August 16, 2010, while the rest of the district began on August 23, 2010.

Bottom line: The difference between instructional time in 2009-10 and 2010-11 amounts to approximately 30 school days – that’s 6 additional weeks of school for students.

Pre-Intervention

Unsuccessful NYC ChartersPost-Intervention

Successful NYC Charters0

200

400

600

800

1000

1200

1400

1600

1800

A: Instructional Hours per Year

Page 21: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

ImplementationHuman Capital

In addition to finding nine new principals, teacher turnover spiked to 53% in Apollo schools over the summer of 2010. Value-added data shows that teachers who returned as Apollo teachers had a much stronger history of increasing student achievement in every subject, relative to those who left.

Language Math Reading Science Social Studies

-0.7

-0.6

-0.5

-0.4

-0.3

-0.2

-0.1

0

0.1

0.2

Teacher Value Added

LeftStayed

2005-06 2006-07 2007-08 2008-09 2009-100%

10%

20%

30%

40%

50%

60%

Teacher Departure Rates

Apollo Schools

Comparison Schools

Page 22: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

ImplementationHigh Dosage Differentiation: Tutoring and Double-Dosing

•All sixth and ninth grade students received daily 2:1 tutoring in math

•Seventh, eighth, tenth, and eleventh graders received an extra reading or math course if they had tested behind grade level in the previous year

• All told, middle school students received approximately 215 hours of tutoring/double-dosing, and high school students received 189.

Page 23: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

ImplementationData-Driven Instruction

•In addition to required HISD assessments, Apollo schools administered two additional comprehensive benchmark assessments in four core subjects: math, reading, science, and social studies.

•After each assessment, teachers received student-level data and used this to have one-on-one goal-setting conversations with students.

Page 24: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

ImplementationCulture and Expectations

At the end of the 2009-10 school year, The New Teacher Project interviewed all teachers in what would become Apollo schools. Those who returned for the 2010-11 year showed a demonstrably stronger commitment to the Apollo 20 philosophy.

No Excu

ses

Alignmen

t with

Miss

ion

Studen

t Ach

ievem

ent

Commitmen

t to St

udents

Studen

t Motiva

tion0

0.5

1

1.5

2

2.5

3

3.5

Interview Responses

LeftStayed

Page 25: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

ImplementationCulture and Expectations

Reports from student focus groups provide a lens into the culture shift.

1. Pre-Treatment: There were lots of fights and “wilding out” all the time. Teachers didn’t give homework. People just showed up and basically went through the motions. Observers noted rowdy hallways, messing around, not taking school very seriously.

2. Treatment Fall: The extended school day was a big shift. Constant complaints of exhaustion. Everyone’s tired. The students are tired. The teachers are tired.

3. Treatment Spring: “The food in the cafeteria sucks.” “I had a hamburger that wasn’t any good.”• Student: “The apples taste like soap.”• Project Manager: “Next time I visit I’ll figure out why the apples

tasted like soap.”

From a teacher in Fall 2011: “The sixth graders from last year who are seventh graders now have started to shift the whole school culture. The climate is really changing – it’s calmer everywhere, and there are no more fights.”

Page 26: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

First-Year Results

In Math, we see positive and statistically significant results in both middle and high school. The gains in grades that received high-dosage tutoring were dramatic.

The reading results are mixed. While high schools performed extremely well, there is little evidence of success in middle school – indeed some estimates are negative.

6th 7th and 8th All Middle 9th 10th and 11th All High Pooled

-0.2

-0.1

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.484

0.125

0.237

0.726000000000002

0.165

0.363

0.277

0.113

-0.067-

0.00800000000000002

0.116

0.215 0.188

0.062

Apollo Treatment Effects

Math Reading

Page 27: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Results In Context

Pooling all grades together, the results are strikingly similar to those achieved by the Harlem Children’s Zone Promise Academy Middle Skill and KIPP – two of the country’s most recognized charter operators.

Average NYC Charter Harlem Children's Zone (MS)

Average KIPP (MS) Apollo Year 10

0.05

0.1

0.15

0.2

0.25

0.3

0.09

0.229

0.260.277

0.04 0.047

0.09

0.062

Treatment Effects in Context

Math Reading

Page 28: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

Cost-Benefit Analysis

Initiative Cost/Student IRR

Apollo 20 $1,837 21.66 %

“No Excuses” Charter School $2,496 18.50 %

Early Childhood Education $8,879 7.6 %

Reduced Class Size $3,501 6.20 %

Using an estimate of the correlation between test scores and future earnings, we can calculate a rough rate of return for the first year of the Apollo experiment and compare it to other popular education interventions.

Page 29: Inequality in the 21st Century: The Declining Significance of Discrimination

CONFIDENTIAL

The Path Forward

This year, we’re expanding the program to:

1. Eleven randomly selected elementary schools in Houston

2. Seven schools – in their own feeder pattern – in Denver.

The model is far from perfect, but it’s enough to get started.

We can save 10 million kids by 2020.