Improving education and labor market outcomes for low-income students is critical for advancing socioeconomic mobility in the United States. We use longitudinal data on five cohorts of 9th grade students to explore how Massachusetts public high schools affect the longer-term outcomes of students, with a special focus on students from low-income families. Using detailed administrative and student survey data, we estimate school value-added impacts on college outcomes and earnings. Observationally similar students who attend a school at the 80th percentile of the value-added distribution instead of a school at the 20th percentile are 11% more likely to enroll in college, are 31% more likely to graduate from a four-year college, and earn 25% (or $10,500) more annually at age 30. On average, schools that improve students’ longer-run outcomes the most are those that improve their 10th grade test scores and increase their college plans the most.

That is from a new NBER working paper by