Arbeitspapier

Achievement Rank Affects Performance and Major Choices in College

This paper studies how a student’s ordinal rank in a peer group affects performance and specialisation choices in university. By exploiting data with repeated random assignment of students to teaching sections, we find that a higher rank increases performance and the probability of choosing related follow-up courses and majors. We document two types of dynamic effects. First, earlier ranks are less important than later ranks. Second, responses to rank changes are asymmetric: improvements in rank raise performance, while decreases in rank have no effect. Rank effects partially operate through students’ expectations about future grades.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 9040

Classification
Wirtschaft
Analysis of Education
Economics of Gender; Non-labor Discrimination
Wage Level and Structure; Wage Differentials
Subject
rank
social comparisons
higher education
peer effects

Event
Geistige Schöpfung
(who)
Elsner, Benjamin
Isphording, Ingo E.
Zölitz, Ulf
Event
Veröffentlichung
(who)
Center for Economic Studies and Ifo Institute (CESifo)
(where)
Munich
(when)
2021

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Elsner, Benjamin
  • Isphording, Ingo E.
  • Zölitz, Ulf
  • Center for Economic Studies and Ifo Institute (CESifo)

Time of origin

  • 2021

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