Do differences in teacher contracts affect student performance : evidence from Togo

Abstract

Many poor countries are initiating teacher contract reforms to meet a growing demand for primary education at a time of increasing government deficits. Key aspects of this reform include reduced salaries and benefits for new, contractual teachers. Using data from Togo, we find that students of regular teachers systematically outperform those of contractual teachers, even after controlling for prior achievement, household-, schooland classroom characteristics. Variation in teaching methods, absenteeism, and resentment over “unfair” pay across contract types do not explain the performance gap. Instead, our findings suggest the reforms triggered a reduction in supply of high quality teacher entrants. Do differences in teacher contracts affect student performance? Evidence from Togo, p. 1