When High Achievers Pay the Price for Higher Educational Standards
Código: WPE – 105
Eduardo de Carvalho Andrade
This paper challenges one of the main conclusions of the literature on standard that high achievers always benefit from a rise in the standard. In fact, we show that exactlly the opposite may occur. The reason is that a higher standard may make impossible for relatively high able students from low income families background to pass the new standard. The expected productivity of those who pass the standard falls and, consequently, their wages.