This paper asks whether a teacher’s measured value added (VA) depends on the VA of the teacher in the previous grade and how that dynamic affects decisions that rely on VA. Using administrative records for North Carolina classrooms, the authors estimate how last grade’s mean teacher VA relates to a teacher’s own VA and evaluate how standard VA approaches would perform under a dismissal policy that targets the bottom 5% of teachers.
Administrative data from North Carolina, Estimated 0.08σ contemporaneous effect, Traditional VA misclassifies 32% under a 5% release rule
Data and methods
The analysis uses administrative education records from North Carolina. The authors measure teachers’ value added (VA) and relate a teacher’s VA to the mean VA of the prior grade’s teachers; they also simulate a benchmark personnel policy that releases teachers in the bottom 5% of the VA distribution. The abstract reports controls for prior teacher assignment as part of the identification strategy.
Main findings
The abstract reports that a one-standard-deviation increase in last grade’s mean teacher VA is associated with a 0.08σ decrease in the focal teacher’s VA, and that controlling for prior teacher assignment removes this bias. Under the benchmark dismissal policy, the authors report that 32% of teachers would be incorrectly released when using traditional VA techniques.
Interpretation and caveats
The authors emphasize that dynamic features of education production—how prior teachers influence measured VA—can bias estimates of teacher quality and affect personnel decisions; the abstract frames the results as highlighting the importance of accounting for prior-teacher effects when estimating VA.

