The long‐run educational benefits of high‐achieving classrooms

Abstract This paper examines how placement in high‐achieving classrooms within high school impacts students’ short‐ and longer‐term academic outcomes. Our setting is a large and selective Chinese high school, where first‐year students are separated into high‐achieving and regular classrooms based on their performance on a standardized exam. Classrooms differ in terms of peer ability, teacher quality, and class size, as well as level and pace of instruction. Using newly collected administrative data and a regression discontinuity design, we show that high‐achieving classrooms improve math test scores by 23% of a standard deviation, with effects persisting throughout the 3 years of high school. Impacts on performance in Chinese and English language subjects are more muted. Importantly, we find that high‐achieving classrooms raise enrollment in elite universities by 17 percentage points, as they substantially increase scores on the national college entrance exam—the sole determinant of university admission in China. We provide suggestive evidence that the most likely mechanism driving our results is exposure to higher‐quality teachers.