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This paper provides new evidence on educational inequality and reviews the literature on the causes and consequences of unequal education. We document large achievement gaps between children from different socio-economic backgrounds, show how patterns of educational inequality vary across countries, time, and generations, and establish a link between educational inequality and social mobility. We interpret this evidence from the perspective of economic models of skill acquisition and investment in human capital. The models account for different channels underlying unequal education and highlight how endogenous responses in parents' and children's educational investments generate a close link between economic inequality and educational inequality. Given concerns over the extended school closures during the COVID-19 pandemic, we also summarize early evidence on the impact of the pandemic on children's education and on possible long-run repercussions for educational inequality.

Intersectionality highlights that different aspects of individuals' identities are not independent of each other. Instead, they interact to create unique identities and experiences, which cannot be understood by analysing each identity dimension separately or in isolation from their social and historical contexts. Intersectional approaches in this way question the common classification of individuals into groups (male vs. female, immigrant vs. native etc.), which raises important implications for the policy-making process. In education, analyses with an intersectional lens have the potential to lead to better tailored and more effective policies and interventions related to participation, learning outcomes, students' attitudes towards the future, identification of needs, and socio-emotional well-being. Consequently, as elaborated in this paper, some countries have adjusted their policies in the areas of governance, resourcing, developing capacity, promoting school-level interventions and monitoring, to account for intersectionality. Gaps and challenges related to intersectional approaches are also highlighted.

Calls for increased monitoring and evaluation of education policies and practices have not, so far, included widespread and consistent assessments of the inclusiveness of education settings. Measuring inclusion in education has proven to be a challenging exercise, due not only to the complexity and different uses of the concept, but also to its holistic nature. Indeed, measuring inclusion implies analysing a variety of policy areas within education systems, while also considering the different roles of the system, the school and the classroom. This paper discusses the application of the input-process-outcome model to the measurement of inclusion in education, and key indicators that can be adopted by education systems and schools to this end. It makes considerations relevant to policy makers when designing indicators to measure inclusion, such as the extent of their application, the constraints related to data disaggregation and the relevance of intersectional approaches to inclusion.

Principals (policy makers) have debated the progress in U.S. student performance for a half century or more. Informing these conversations, survey agents have administered seven million psychometrically linked tests in math and reading in 160 waves to national probability samples of selected cohorts born between 1954 and 2007. This study is the first to assess consistency of results by agency. We find results vary by agent, but consistent with Flynn effects, gains are larger in math than reading, except for the most recent period. Non-whites progress at a faster pace. Socio-economically disadvantaged white, black, and Hispanic students make greater progress when tested in elementary school, but that advantage attenuates and reverses itself as students age. We discuss potential moderators.

The aim of the OECD Career Readiness project is to identify patterns of teenage attitudes and activities that are associated with better transitions into employment by analysing multiple national longitudinal datasets. This paper looks for further evidence of the link between teenage activities, experiences and career-related thinking and adult career outcomes by analysing 10 new datasets from eight countries. Overall, the results of this paper find further evidence that secondary school students who explore, experience and think about their futures in work frequently encounter lower levels of unemployment, receive higher wages and are happier in their careers as adults. The findings of this paper are analysed together with the evidence from the two previous working papers of the Career Readiness project, concluding that there is international evidence to support 11 out of the 14 potential indicators that were explored as indicators of career readiness.

Governments recognise that careers guidance, underpinned by accurate labour market information, can help learners make post-secondary education choices that match their interests, aptitudes and abilities, and lead to rewarding employment. For this reason, they have invested in building linked education/employment information systems and other information resources which are displayed on websites targeted to learners and their families. However, researchers and governments agree that these efforts are often ineffective in informing learners' decisions -- access to information is not sufficient to provide effective support to student choice. Drawing upon the insights of behavioural economics, this paper examines how learners access and use information, and what this implies for the design of public study and career choice websites that aim to effectively support student choice. The report also takes stock of the career guidance websites in use in the majority of OECD countries, and sets out to provide actionable advice for policy makers to guide the design of effective information policy levers that support student choice.

The worldwide school closures in early 2020 led to losses in learning that will not easily be made up for even if schools quickly return to their prior performance levels. These losses will have lasting economic impacts both on the affected students and on each nation unless they are effectively remediated. While the precise learning losses are not yet known, existing research suggests that the students in grades 1-12 affected by the closures might expect some 3 percent lower income over their entire lifetimes. For nations, the lower long-term growth related to such losses might yield an average of 1.5 percent lower annual GDP for the remainder of the century. These economic losses would grow if schools are unable to re-start quickly. The economic losses will be more deeply felt by disadvantaged students. All indications are that students whose families are less able to support out-of-school learning will face larger learning losses than their more advantaged peers, which in turn will translate into deeper losses of lifetime earnings. The present value of the economic losses to nations reach huge proportions. Just returning schools to where they were in 2019 will not avoid such losses. Only making them better can. While a variety of approaches might be attempted, existing research indicates that close attention to the modified re-opening of schools offers strategies that could ameliorate the losses. Specifically, with the expected increase in video-based instruction, matching the skills of the teaching force to the new range of tasks and activities could quickly move schools to heightened performance. Additionally, because the prior disruptions are likely to increase the variations in learning levels within individual classrooms, pivoting to more individualised instruction could leave all students better off as schools resume. As schools move to re-establish their programmes even as the pandemic continues, it is natural to focus considerable attention on the mechanics and logistics of safe re-opening. But the long-term economic impacts also require serious attention, because the losses already suffered demand more than the best of currently considered re-opening approaches.

Over the past two decades, public higher education has become widely recognized for its contribution to socio-economic adjustment. This paper probes its evolution in two large and affluent democracies, the United States and Germany, whose higher education systems represent distinct ideal types. The analysis argues that public authorities in both countries have liberalized their systems to spur innovation in the provision of higher education. Yet a broad convergence in associated market expansion has coincided with divergence in its modes and consequences. Tracing how the two countries' policy regimes have created path-dependent trajectories of reform, the paper contends that the institutions associated with each state's inherited role in higher education--"enabling" in the US and "constitutive" in Germany--have empowered different social groups to shape state action. Under the influence of investors and managers, institutional drift and conversion have pushed public higher education toward corporatization in the United States. In contrast, interventions by faculty and students have moderated the effects of institutional displacement and layering on the German system's stratification. Given the sector's growing importance, this analysis carries important implications for the comparative study of capitalist evolution. [A bibliography is included.]

This systematic review investigates the relevance of general pedagogical knowledge for successful teaching. It synthesises the empirical evidence of 10 769 teaching professionals and 853 452 students from primary to tertiary education in 21 countries. The meta-analysis of 20 quantitative studies revealed significant effects for teaching quality and student outcomes (Cohen's d = 0.64 and 0.26), indicating that more knowledgeable teachers achieve a three-month additional progress for students. The three themes emerging from 31 qualitative studies underline that general pedagogical knowledge is a crucial resource for teaching. Results also show that teaching requires knowledge about a range of topics, specific skills and other competences to transform knowledge into practice. Teachers need training and practical experience to acquire knowledge, which they apply according to the pedagogical situation at hand. The results allow for important conclusions for policy, practice and research.

The recent refugee crisis has put many Organisation for Economic Cooperation and Development (OECD) countries under considerable pressure to accommodate and integrate large numbers of refugees. Refugee students are a particularly vulnerable group due to their forced displacement, but their needs are not always met by education systems, which can hinder the integration potential of these students. This poses considerable challenges as the integration of refugee students in education systems is important for their academic outcomes as well as their social and emotional well-being. The success (or lack of) integration in schools can also affect the future labour market and social integration potential of these children and youth. While there is a growing body of research on the integration of immigrants, policy-relevant research on refugee children and youth from an educational perspective is rather limited, fragmented and case specific. Detailed surveys and research projects focusing on the current wave of refugees that allow for cross-country comparisons are not yet available. Drawing on research from previous refugee waves, the paper examines key needs of refugee students and factors that promote their integration. It proposes a holistic model of integration in education that responds to the learning, social and emotional needs of refugee students. Furthermore, the paper examines what type of policies and practices are in place in OECD countries that support the integration of refugee students. Nonetheless, evaluations of practices and policies are often missing, which makes it difficult to assess whether they are successful. The paper finishes with some policy pointers on how to promote the integration of refugee students.

This paper explores the impact of test-taking conditions on the quality of the Programme for the International Assessment of Adult Competencies (PIAAC) assessment. Interviewers record information about the room of assessment and interruptions that occurred during each interview. These observations, along with information on interviewer assignment size and a careful look at interviewer effects, provide insights into the quality of the assessment. This working paper first describes the variations in test-taking conditions among participating countries. Second, it examines interviewer assignment sizes and the frequency of interruptions, finding that both vary markedly among countries (contrary to the room of assessment). The paper then looks at the relationship between these variations and response rates and engagement measures. While neither the room of assessment nor the recorded interruptions impact quality differences among countries, interviewer assignment size and interviewer effects may have a mild impact on results.

Differences in teacher quality are commonly cited as a key determinant of the huge international student performance gaps. However, convincing evidence on this relationship is still lacking, in part because it is unclear how to measure teacher quality consistently across countries. We use unique international assessment data to investigate the role of teacher cognitive skills as one main dimension of teacher quality in explaining student outcomes. Our main identification strategy exploits exogenous variation in teacher cognitive skills attributable to international differences in relative wages of nonteacher public sector employees. Using student-level test score data, we find that teacher cognitive skills are an important determinant of international differences in student performance. Results are supported by fixed-effects estimation that uses within-country between-subject variation in teacher skills.

This paper looks at the importance of mechanisms that give formal recognition to vocational skills acquired through work-based learning and how such mechanisms might be developed. It describes how skill recognition can benefit individuals, employers and society as a whole, and identifies in which contexts skill recognition has the highest potential to bring benefits. The focus is on three tools that are commonly used to shorten the path to a formal qualification: admission into a programme, reduced programme duration and qualification without a mandatory programme. For each of these tools, this paper sets out country approaches, discusses common challenges that arise in their implementation and advances policy messages to support policy design and implementation.

Resilience refers to the capacity of individuals to prosper despite encountering adverse circumstances. This paper defines academic resilience as the ability of 15-year-old students from disadvantaged backgrounds to perform at a certain level in the Programme for International Student Assessment (PISA) in reading, mathematics and science that enables them to play an active role in their communities and prepares them to make the most of lifelong-learning opportunities. Using data from the most recent PISA cycles, this paper explores changes in the share of resilient students over time (2006-2015); highlights the importance of school environments and resources in mitigating the risk of low achievement for disadvantaged students; and identifies school-level factors that are associated with the likelihood of academic resilience among socio-economically disadvantaged students. Analyses reveal that several countries were able to increase the share of resilient students over time, reflecting improvements in the average performance of students, or a weaker relationship between socio-economic status and performance. In the vast majority of education systems examined, the likelihood of academic resilience among disadvantaged students is lower in schools where students report a negative classroom climate. The paper concludes by exploring school policies and practices that are associated with a positive classroom climate. [This work was supported by a contribution to the PISA programme of work from Vodafone Germany Foundation.]

There is an extensive literature on the productivity of universities. Little is known, however, about how different types of leaders affect a university's performance. To address this question, this paper blends quantitative and qualitative evidence. First, I establish that the best universities in the world are led by respected scholars. Next, by constructing a new longitudinal dataset, I show that the research quality of a university improves some years after it appoints a president (or vice chancellor) who is an accomplished researcher. To try to explain why scholar-leaders might improve the research performance of their institutions, I draw from interview data with twenty-six university heads in the United States and United Kingdom. These findings have policy implications for governments, universities, and a range of research and knowledge-intensive organizations. (Contains 7 figures and 27 footnotes.)

The ways in which children learn a language--be it their mother tongue or their second language--can have a strong influence on their success in school. Researchers in linguistics and early child development have tried to determine the factors that can help and hinder language acquisition in young children, with some conflicting results. In this article, the author reviews the research and existing theories on language development, focusing on how pre-schoolers' social environment affects their ability to learn languages and their subsequent reading and writing skills. Because children from immigrant families and those with a low socio-economic status often have difficulty with language acquisition, this review looks in particular at language development initiatives for disadvantaged groups in daycare settings. Beginning with an overview of theories on language development, the author examines the sometimes-conflicting hypotheses that attempt to explain how children acquire their first language and how some become bilingual. Next, the role of the social environment is reviewed, beginning with the importance of verbal input for first language development, then looking at the complex phenomenon of second language acquisition. The author provides an overview of research on bilingualism and its various forms, focussing on children who learn a second language after they are already established in their mother tongue, as opposed to the less common cases of children who acquire two languages from birth. Looking in particular at research on migrant children, the paper explores the course and duration of second language acquisition, as well as the common linguistic behaviours that may arise. Conditions that influence children's adoption of a second language and culture are then examined, as well as similarities and differences between first and second language acquisition. Factors that influence the development of a second language such as age, motivation, interaction, educational style, socio-economic status, and experiences in daycare are discussed, and the impact of early language development on school success is examined. Finally, the author reviews several programmes aimed at fostering language development and literacy in infancy and early childhood in the United Kingdom, the United States, and Germany, and concludes with a discussion of the implications of the research, providing several recommendations for practice. A glossary is included. (Contains 24 footnotes.)

Children face many important changes in the first eight years of life, including different learning centres, social groups, roles and expectations. Their ability to adapt to such a dynamic and evolving environment directly affects their sense of identity and status within their community over the short and long term. In particular, the key turning points in children's lives--such as "graduating" from kindergarten to primary school or going through a culturally specific rite of passage--provide challenges and opportunities for learning and growth on multiple levels. This paper provides a review of the major perspectives in research on early childhood transitions and reveals the predominant areas of focus in both academic and professional studies, as well as important neglected viewpoints and study populations. Beginning with a broad and inclusive definition of the topic, the authors provide an overview of early childhood transitions research, highlighting the underlying assumptions that informed the studies. They assess concepts in the developmental theory that preceded transitions research as well as in the logic that determines how transitions are structured. More recent approaches are examined, including systems theories and the role of children as active participants in transitions. Several examples in this review show how multidisciplinary collaboration and culturally sensitive interventions can result in better participation of both parents and children in crucial early childhood transitions. Citing the need to harmonise early childhood education and care programmes with local education practices, the authors stress the value of greater transparency in the creation of policy and programming for children, in order to identify potentially limiting assumptions. Broadening and diversifying perspectives on transitions can lead to more integrated and culturally relevant rights-based early childhood programmes worldwide. A glossary and a bibliography are included. (Contains 7 footnotes.)

The paper examines between-country differences in the mechanisms through which education could promote generalised trust using data from 29 countries participating in the OECD's Survey of Adult Skills (PIAAC). Results indicate that education is strongly associated with generalised trust and that a large part of this association is mediated by individuals' literacy skills, income and occupational prestige. However, education gradients in levels of generalised trust and in the extent to which they are due to social stratification mechanisms or cognitive skills mechanisms vary across countries. Differences across countries in birthplace diversity and income inequality are correlated with how strongly education is associated with trust in different countries, as well as in the relative magnitude of direct and indirect associations. In particular, the relationship between literacy skills and generalised trust is stronger in the presence of greater birthplace diversity but is weaker in the presence of greater income inequality.

Within the last 50 years, the work-family-household arrangements upon which social policy systems in industrial nations were formulated have disappeared. This briefing paper examines how social policies of the United States, Japan, Germany, Italy, and France have responded. The paper is presented in two major sections. The first section describes family policies in each country concerning parental leave, child benefits/family allowances, child care, marriage/cohabitation, and divorce. The second section discusses the mixed effects of maternity leave on womens employment, the lack of a relationship between fertility and maternity leave and fertility and cash benefits, and factors that complicate the relationship between countries' social spending and child poverty. Job-protected maternity leave is described as the most basic entitlement reflecting public acknowledgment of the economic necessity of working motherhood. Analyses suggest that fertility rates do not seem responsive to cash benefits or other policies, such as extended maternity leave, that function as wages for motherhood. In countries where child care provisions are not widely available, lengthy paid leaves have the effect of bringing women into the home for long periods of time. The most important role of cash benefits is to reduce child poverty, as illustrated by patterns in the U.S., France, and Germany. The paper concludes by asserting that Western European nations family policy can be divided into two types, one in which the social welfare system provides a comprehensive array of universal family benefits and services, and the other in which benefits are nonuniversal and accompanied by higher child poverty rates. The United States fits neither of the European patterns and is characterized by several contradictions contributing to the lack of political support for families. (Contains 98 references.) (KB)

Numeracy and literacy skills have become increasingly important in modern labour markets. The large gender differences that several studies have identified have therefore sparked considerable attention among researchers and policy makers. Little is known about the moment in which such gaps emerge, how they evolve and if their evolution differs across countries. We use data from large-scale international assessments to follow representative samples of birth-cohorts over time, and analyse how gender gaps in numeracy and literacy evolve from age 10 to age 27. Our results suggest that, across the countries examined, males' advantage in numeracy is smallest at age 10 and largest at age 27. The growth in magnitude of the gender gap is particularly pronounced between the age of 15 and 27. Such evolution stands in sharp contrast with the evolution of the gender gap in literacy, which is small at age 10, large and in favour of females at age 15, and negligible by age 27.

This study uses the PIAAC data to examine the relationships between education system characteristics (e.g. early tracking and vocational education orientation) and distributions of adult numeracy skills. It also investigates the effects of postponing the tracking age and easing university access for students on a vocational track on the average skills and different percentiles of the skills distribution. Correlational analysis suggests that education systems with more students enrolled in vocational tracks have on average higher levels of numeracy skills and more compressed skills distributions between the 50th and 90th percentiles. Further analysis suggests that postponing the tracking age among 14 European countries does not have a significant effect on the average skills of the population. However, it increases skills for individuals at the 10th, 20th, and 30th percentiles of the skill distribution. Expanding university access is associated with an increase in numeracy skills, particularly for individuals at the bottom three deciles of the distribution.

It is well-known that there are large disparities in academic achievement between children of different socio-economic status (SES) backgrounds. This study examines the evolution of disparities in literacy skills between adults of different SES backgrounds. It compares countries' patterns in the evolution of disparities in literacy by SES background as cohorts age and asks which patterns of educational and labour force participation predict a narrowing rather than a widening of these disparities. Since there is no international longitudinal study of skills across the entire adult life span, this study uses three cross-sectional international adult studies (International Adult Literacy Survey, Adult Literacy and Lifeskills and Programme for the International Assessment of Adult Competencies) and matches birth years to create synthetic cohorts. Results indicate that there is large cross-national variation in the evolution of skills disparities associated with SES background. Disparities in literacy proficiency tend to widen when SES disparities in high school completion, professional and blue-collar employment increase. Disparities narrow when workers exit the labour force, a finding that is explained by the large inequalities in the employment experiences of individuals from different SES backgrounds, measured by differences in use of literacy skills at work. These results help to explain cross-national variation in the evolution of skills disparities by SES background, which has implications for policies aimed at closing skills gaps over the life course. [Funding from the OECD Thomas J. Alexander Fellowship Programme.]

We assess the relationship between general literacy skills and health status by analysing data from the Programme for the International Assessment of Adult Competencies (PIAAC), an international survey of about 250,000 adults aged 16-65 years conducted by the Organisation for Economic Co-operation and Development (OECD) from 2011-15 in 33 countries/national sub-regions. Across countries, there seems to be a strong and consistent association between general literacy proficiency and self-rated poor health, independent of prior socio-economic status and income. General literacy proficiency also appears to be a mediator of the association between self-education and self-rated poor health. While the literacy-health association is robust over time, it varies in magnitude across countries. It is strongest for those with a tertiary or higher degree and does not appear to exist among young adults (ages 25 to 34 years). Future studies are required to understand the contextual factors that modify the general literacy proficiency-health association.

This paper presents key indicators of educational and employment status for students making the transition from adolescence to early adulthood in selected Organisation for Economic Co-operation and Development (OECD) countries. The data that are presented include international comparisons of student achievement, educational attainment, literacy and unemployment among young adults. Data on expenditures for education are presented as a measure of national investment in education. It is a selective account, presenting data on important educational markers from international surveys and collections, offered as representative of key aspects of transitioning from education to the workforce in each country. To ensure comparability of data across countries, the data are derived from international surveys, or data collection efforts in which data have been harmonized. The time frame to which the data refer is the middle of the 1990s, between 1994-96. The countries chosen for comparison are OECD members that are representative of the regions of Europe (Northern, Central, Southern, and Eastern), English-speaking countries, and Asia. The coverage of countries varies by source, as the same countries did not participate in each of the surveys and data collections. However, every effort was made to include seven countries that are of particular interest, and they are the focus of the discussion in the text and appear in the figures when data are available: the United States, the United Kingdom, France, Germany, the Netherlands, Sweden, and Italy. An appendix presents: Description of School Systems in Seven Countries.

A task force was convened to identify the nature, extent, and pattern of skill needs and shortages for managerial occupations in the United Kingdom (UK). The task force began by examining the key challenges facing managers in the UK. The following factors were among those considered: economic policies promoting liberalization and deregulation; increasingly fragmented and global product markets; and technological transformations arising from developments in microelectronics. The demand projections for managers and skills shortages (as demonstrated through recruitment problems for higher-level occupations) were reviewed along with the new skills and competencies demanded of managers. Skills related to the following management roles were detailed: managing operations, managing finance, managing people, and managing information. Each key role was subdivided into units of competence that were in turn subdivided into elements of competence. Performance criteria and range indicators were provided for each element of competence. The following key management roles were added to the original four: manage energy, manage quality, and manage projects. Existing management standards were reviewed and modified to reflect the new roles. Management training and development in schools and small and medium enterprises were discussed along with criticisms that have been leveled against competency-based management development. (Contains 112 references.) (MN)

This paper offers a broad look at accreditation and quality assurance in higher education and how these issues are addressed around the world. Section 1 is an overview of accreditation and addresses the aims and objectives of accreditation, standards, accreditation bodies, stages of the accreditation process, the quality of that process, the role of government in the accreditation process, some critical points of view concerning the process, and present accreditation trends. Section 2 looks at accreditation and quality assurance through brief national case studies. The nations represented are France, Germany, United Kingdom, the Netherlands, Sweden, the United States, China, India, Hong Kong, South Africa, Nigeria, Kenya, and Australia. This section closes with a section comparing accreditation and quality assurance in various regions. Section 3 takes a closer and more detailed look at the accreditation process in Romania, particularly in light of the recent political and educational changes in this nation and the fairly recent decision to introduce accreditation of institutions of higher education. This examination covers accreditation principles and objectives, standards for initial and subsequent accreditation, application rules, structure of the accreditation committee and its functions, and provisions for financing accreditation. Appendixes contain institutional evaluation standards and a glossary. (Contains 27 references.) (JB)

A study examined the role of employer training in ameliorating skill shortages and enhancing productivity and competitiveness. The study established that formal training by specialized personnel accounts for only 5-10% of the time newly hired workers are engaged in training activities and that existing labor market research instruments fail to measure much of the informal training and on-the-job training (OJT) received by new employees. U.S. employers were found to devote less time and fewer resources to training entry-level blue-collar, clerical, and service employees than do employers in Germany and Japan. The lower U.S. training rate was attributed to the following: higher employee turnover and higher cost of capital in the United States, lower trainability of U.S. youth, lower rates of technological progress, and lack of information about the quality of the general human capital obtained from OJT. Clear evidence that most U.S. employers and workers underinvest in OJT was found. The study further confirmed that, although high-quality occupational training offered by schools ameliorates the problem of underprovision of skill training, school-based training cannot replace some kinds of employer training and is generally less effective than employer-provided training in providing the same skills. (Contains 126 references.) (MN)

This paper presents a comprehensive analysis of the link between age and proficiency in information-processing skills, based on information drawn from the Survey of Adult Skills (PIAAC). The data reveal significant age-related differences in proficiencies, strongly suggesting that proficiency tends to "naturally" decline with age. Age differences in proficiency are, at first sight, substantial. On average across the OECD countries participating in PIAAC, adults aged 55 to 65 score some 30 points less than adults aged 25 to 34 on the PIAAC literacy scale, which is only slightly smaller than the score point difference between tertiary educated and less-than-upper-secondary educated individuals. However, despite their lower levels of proficiency, older individuals do not seem to suffer in terms of labour market outcomes. In particular, they generally earn higher wages, and much of the available empirical evidence suggests that they are not less productive than younger workers. Older and more experienced individuals seem therefore able to compensate the decline in information processing skills with the development of other skills, generally much more difficult to measure. On the other hand, proficiency in information-processing skills remain a strong determinant of important outcomes at all ages: this makes it important to better understand which factors are the most effective in preventing such age-related decline in proficiency, which does not occur to the same extent in all countries and for all individuals. Two broad interventions seem to be particularly promising in this respect. First, it is important to ensure that there is adequate and effective investment in skills development early in the life-cycle: as skills beget skills, starting off with a higher stock of human capital seems also to ensure smaller rates of proficiency decline. Second, it is equally important that policies are in place that provide incentives to individuals (and firms) to invest in skills across the entire working life. In this respect, changes in retirement policies can not only have the short-term effect of providing some reliefs to public finance, but have the potential to radically reshape incentives to stay active, to practice their skills and to invest more in training, thus helping to maintain high levels of proficiency. One table, Age Differences and Age Effects, is appended.

In this study, we investigated how empirical indicators of test-taking engagement can be defined, empirically validated, and used to describe group differences in the context of the Programme of International Assessment of Adult Competences (PIAAC). The approach was to distinguish between disengaged and engaged response behavior by means of response time thresholds. Constant thresholds of 3000 ms and 5000 ms were considered, as well as item-specific thresholds based on the visual inspection of (bimodal) response time distributions (VI method) and the proportion correct conditional on response time (P+>0% method). Overall, the validity checks comparing the proportion correct of engaged and disengaged response behavior by domain and by item showed that the P+>0% method performed slightly better than the VI method and the methods assuming constant thresholds. The results for Literacy and Numeracy by module revealed that there was an increase from Module 1 to Module 2 in the proportion of disengaged responses, suggesting a drop in test-taking engagement. The investigation of country differences in test-taking engagement by domain using the P+>0% method showed that the proportion of responses classified as disengaged was quite low. For Literacy, the proportion was well below 5% for the majority of countries; in Numeracy, the proportion was even smaller than 1% for almost all countries; while for Problem solving, the proportion of disengaged responses was more than 5% but usually well below 10%. There were significant differences in test-taking engagement between countries; the obtained effect sizes were small to medium. Population differences in test-taking engagement were highly correlated between the three domains, suggesting that test-taking engagement can be conceived as a consistent characteristic. Furthermore, there was a clear negative association between test-taking disengagement and proficiency in Literacy, Numeracy and Problem solving, respectively. Finally, subgroup differences for gender, age, educational attainment, and language proved to be insignificant or very small. Results suggest that males tend to be more disengaged, that disengagement increases with age in Problem solving, with lower educational attainment and when the test language is not the same as a testee's native language. Appended are: (1) Country differences in test-taking engagement; and (2) Subgroup differences in test-taking engagement.

Using the 2012 PIAAC data, our analysis confirms that there are significantly higher earnings and employment returns to "both" increasing levels of formally recognised education, and to increasing levels of numeracy, literacy and information and communication technologies (ICT) skills proficiencies controlling for the level of education. Unsurprisingly, the labour market returns to changes in formally recognised levels of education in general exceed the labour market returns associated with increasing levels of skills proficiency. In the case of literacy and numeracy proficiencies, improved literacy and numeracy skills narrow the labour market outcomes gap between individuals with different levels of formally recognised education, but do not close it completely. The analysis demonstrates more substantial returns to ICT skills. Furthermore, possession of higher levels of ICT skills and lower levels of formally recognised qualification are often associated with higher returns compared to individuals with higher levels of formally recognised education but lower ICT proficiency levels. In other words, ICT skills proficiencies often entirely compensate for lower formally recognised qualifications in the labour market. Contains the following annexes: (1) Country Literacy and Numeracy Profiles; and (2) Demographic Control Variables.

This paper explores the impact of policies and institutions on employment and unemployment of OECD countries in the past decades. Reduced-form unemployment equations, consistent with standard wage setting/price-setting models, are estimated using cross-country/time-series data from 21 OECD countries over the period 1982-2003. In the "average" OECD country, high and long-lasting unemployment benefits, high tax wedges and stringent anticompetitive product market regulation are found to increase aggregate unemployment. By contrast, highly centralised and/or coordinated wage bargaining systems are estimated to reduce unemployment. These findings are robust across specifications, datasets and econometric methods. As policies and institutions affect employment not only via their impact on aggregate unemployment but also through their effects on labour market participation -- particularly for those groups "at the margin" of the labour market, group-specific employment rate equations are also estimated. In the "average" OECD country, high unemployment benefits and high tax wedges are found to be associated with lower employment prospects for all groups studied, namely prime-age males, females, older workers and youths. There is also evidence that group-specific policy determinants matter, such as targeted fiscal incentives. The paper also finds significant evidence of interactions across policies and institutions, as well as between institutions and macroeconomic conditions. Consistent with theory, structural reforms appear to have mutually reinforcing effects: the impact of a given policy reform is greater the more employment-friendly the overall policy and institutional framework. Certain more specific interactions across policies and institutions are found to be particularly robust, notably between unemployment benefits and public spending on active labour market programmes as well as between statutory minimum wages and the tax wedge. Finally, it is shown that macroeconomic conditions also matter for unemployment patterns, with their impact being shaped by policies. (A bibliography is included. Contains 144 footnotes, 9 figures, 3 boxes and 27 tables.)

The contribution of higher education institutions to regional development is a theme that has attracted growing attention in recent years. Knowledge institutions are increasingly expected not only to conduct education and research, but also to play an active role in the economic, social and cultural development of their regions. The extent to which higher education institutions are able to play this role depends on a number of circumstances: the characteristics of the institutions, the regions in which they are located and the policy frameworks are all significant. At the same time, there are signs of more fundamental conceptual and strategic confusion. The discussions in this domain are frequently characterised by slogans and popular metaphors. This literature review was prepared to support the OECD project entitled 'Supporting the Contribution of Higher Education Institutions to Regional Development', which was conducted by the OECD Programme on Institutional Management in Higher Education (IMHE) in collaboration with the Directorate of Public Governance and Territorial Development. Drawing mainly from a selection of European and North American publications, the report takes an overall view on the development of higher education institutions in the regional context. It focuses on the evolution and discourses of higher education and research, the regional aspects of higher education policies, the various functions and roles that the institutions play, measures taken to link the universities with their regional partners, and the conditions which favour or hamper stronger regional engagement. (A bibliography is included. Contains 9 figures.)

Innovation is essential for the education sector. The ways in which curriculum decision making is organised reflects different implicit approaches on how educational systems pertain to promote innovation in education. Curriculum holds an outstanding place when seeking to promote innovation in education, as it reflects the vision for education by indicating knowledge, skills and values to be taught to students. It may express not only "what" should be taught to students, but also "how" the students should be taught. Curriculum innovations can include new subjects, combinations of old subjects or cross-cutting learning objectives. They may also take a form of new content, concepts, sequencing, time allocation or pedagogy. This paper characterises two contrasted approaches to curriculum decision making and bringing about innovations in education. At one extreme, a prescriptive central curriculum implicitly places the initiative for educational innovations at the level of the central administration. This approach provides strong incentives for schools and teachers to adapt innovations that would not otherwise take place. Innovations, supported by policy measures and informed by research, are brought within the reach of all schools and teachers in an equitable manner. The challenge is then to accommodate local needs and ensure the commitment to and implementation of innovations by schools and teachers. At the other extreme, decentralised curriculum decision making provides schools--and perhaps even teachers--with room to create their own educational innovations. This approach allows for experimentation relevant to individual students and local communities. Innovations are meant to spread through horizontal networks of schools and teachers. The challenge is then to provide incentives for individual schools and teachers to innovate or adapt innovations and ensure that they have equal capacity to do so. The paper provides an overview of various possible approaches linking curriculum policy to educational innovation, it shows that OECD countries can mix these approaches and it discusses elements that can affect those innovations in reality. Focusing on public lower-secondary education, it draws on various OECD and UNESCO data. First, the paper suggests that OECD education systems differ clearly when looking at formal curriculum decision making, although no system relies on a purely central or school-based approach to curriculum innovations. Second, several elements can reduce the "innovation power" of the central curriculum and the "innovation flexibility" of the decentralised curriculum. Third, stakeholders--such as experts, teachers and parents--are able to influence curriculum innovations differently at central and school levels. Innovations in central-level curriculum appear to have widespread possibilities to rely on expert knowledge with consultation with practitioners, parents and the wider public. School level curriculum innovations appear to build mainly on principals and teachers' knowledge with an indirect influence from experts and parents. Annexed are: (1) Emerging Curriculum Themes in OECD Countries; (2) Approaches to Bringing About Competence-Based Curriculum; (3) Central Level Curriculum in OECD Countries; (4) Details on the Implicit Approaches to Curriculum Innovations; and (5) Roles of Parents in Decision Making on Education Policy. (Contains 13 tables, 4 charts, 5 boxes and 20 notes.)

This working paper assesses the ease of immigrants' integration in OECD labour markets by estimating how an immigration background influences the probability of being active or employed and the expected hourly earnings, for given individual characteristics. Applying the same methodology to comparable data across twelve OECD countries, immigrants are shown to significantly lag behind natives in terms of employment and/or wages. The differences narrow as years since settlement elapse, especially as regards wages, reflecting progressive assimilation. Strong differences in immigrant-to-native gaps are also observed across countries, and the paper shows that they may, to a significant extent, be explained by differences in labour market policies, in particular unemployment benefits, the tax wedge and the minimum wage. In addition, immigrants are shown to be overrepresented among outsiders in the labour market and, as such, highly sensitive to the difference in employment protection legislation between temporary and permanent contracts. (Contains 36 footnotes, 1 figure and 10 tables.)

This literature review on school choice analyses the impact of choice schemes on students and on school systems focusing on equity. Reviewing the evidence can be difficult, as the literature is often fragmented and inconclusive, and the political importance of this research often results in high-profile attention given to individual studies rather than systemically understanding collected from a larger empirical base (Berends, Cannata and Goldring, 2011). Different political groups use evidence that supports their positions in favour or against school choice, and their positions relative to school choice are largely based on their ideologies, rather than on empirical work and evidence of effectiveness (Levin and Belfield, 2004). This report steps away from the ideological debate and provides research-based evidence on the impact of choice on disadvantaged students and schools. As "only with data on the consequences of different plans for school choice will we be able to reach sensible judgements rooted in experience (Fuller and Elmore, 1996, p. 8)". It uses analysis and statements that are supported empirically and attempts to cover the widest possible scope of research, and provide responses to the key question of how to balance choice with equity considerations. (Contains 7 tables, 4 figures, 5 boxes and 13 footnotes.)

This paper discusses the most relevant issues concerning teacher evaluation in primary and secondary education by reviewing the recent literature and analysing current practices within the OECD countries. First, it provides a conceptual framework highlighting key features of teacher evaluation schemes. In particular, it emphasises the importance of clarifying the purposes of teacher appraisal, whether summative when designed to assure that the practices enhancing student learning are undertaken or formative when conducted for further professional development objectives. It also encompasses the diverse criteria and instruments commonly used to assess teachers as well as the actors generally involved in the process and potential consequences for teachers' professional life. Second, it deals with a number of contentious points, including the question of the use of student outcomes to measure teaching performance, the advantages and drawbacks of different approaches given the purpose emphasised and resource restrictions, the implementation difficulties resulting from different stakeholders' interests and possible ways to overcome these obstacles. Finally, it provides an account of current empirical evidence, pointing out mixed results stemming from difficulties in assessing the effects of such evaluation schemes on teaching quality, teachers' motivation and student learning. It concludes by considering the circumstances under which teacher evaluation systems seem to be more effective, fair and reliable. Developing a comprehensive approach to evaluate teachers is critical to make demands for educational best practice compatible with teachers' appropriation of the process as well as to enhance the decisive attractiveness and recognition of the teaching profession. (Contains 1 table.)

Education plays an essential role in preparing the children of immigrants for participation in the labour market and society. Giving these children opportunities to fully develop their potential is vital for future economic growth and social cohesion in OECD countries. But migrant students in most OECD countries tend to have lower education outcomes than their native peers. Extensive previous research has described the system level, school level and individual level factors that influence the education outcomes of migrant students. Building on such previous research, this paper looks at the ways in which "education policies" can influence these factors to help provide better educational opportunities for migrant students. (Contains 7 footnotes.) [This review was prepared for the OECD Thematic Review on Migrant Education. It was presented and discussed at the Second Meeting of the Group of National Experts on the Education of Migrants in Paris on 13-14 October 2008.]

This paper reviews recent measurement work on User-Created Content (UCC) undertaken in OECD countries. It shows that UCC is emerging as a significant area of economic and social activity worthy of consideration for official measurement and discusses the implications for the OECD Model Survey on ICT Access and Use by Households and Individuals. (Study summary and questionnaires are annexed. Contains 10 footnotes, 6 figures and 1 table.)

Do some forms of student (and school) assessment hinder the introduction of innovative educational practices and the development of innovation skills in education systems? This report focuses on the impact of high-stake summative assessment on innovation and argues that it is possible to reconcile high-stakes assessments and examinations through innovative approaches to testing. While necessary, assessment based on high-stake examinations often acts as an incentive to teach or study "to the test". It may thus limit risk-taking by teachers, students and parents, for instance. The problem may be amplified if a system of accountability and incentives uses the results of these examinations and tests to assess teachers and schools. What should be done to ensure that the systems used to assess education systems do not stifle the risk-taking inherent to innovation--and that they foster innovation skills in students? This study proposes three main ways of combining assessment and innovation: 1) developing a wide range of performance measurements for both students and schools; 2) rethinking the alignment of standards and assessment; 3) measuring the impact of assessments on teaching and learning. One way of influencing teaching and learning might be to modify high-stake testing. Systems will adapt to this, and both teaching and learning will focus on acquiring the right skills. Rather than testing the content of learning, standards could relate to cognitive skills such as problem-solving, communicating and reasoning--with test/examination developers adapting those skills to subjects such as mathematics, science or literary analysis. Similarly, more use might be made of innovative assessment methods based on information and communication technologies, inasmuch as these may feature simulation or interactivity, for instance, at a reasonable cost. Focusing the assessment on cognitive processes rather than content would leave more scope for teachers to put in place innovative teaching/learning strategies. This does, however, assume a high standard of professionalism in teachers and an adequate system of continuing training and knowledge management. As a single type of assessment cannot fully capture student learning, one effective strategy might also be to multiply the number of measurements and thus relieve the pressure on students and teachers to perform well in a single, high-visibility, high-stake test. At the same time, this larger number of measurements could provide the necessary input for systems based on accountability, diagnosis and assessment of the effectiveness of innovative practice. Finally, assessing the technical standard of tests and examinations is an integral part of their development, but it is less common to address the impact they have on teaching/learning or the validity of how their results are used. Since assessment is an integral part of the education process, it is just as important to assess tests and examinations as it is other educational practices in order to achieve improvements and innovation in educational assessment, but also in educational practice. (Contains 12 notes.)