American Economic Journal:
Economic Policy
ISSN 1945-7731 (Print) | ISSN 1945-774X (Online)
The Value of School Social Climate Information: Evidence from Chicago Housing Transactions
American Economic Journal: Economic Policy
(pp. 163–96)
Abstract
Educational institutions increasingly measure and publish indicators of social climate. I exploit a plausibly exogenous shock of Chicago school information to examine how social climate information is capitalized into housing markets and affects homebuyer sorting. Using border discontinuities, event studies, and difference-in-differences designs, I find public disclosure raises prices for homes assigned to schools with better climate ratings, with suggestive evidence that higher-income families sort into these homes. A second, less publicized disclosure produced weaker price capitalization but significant responses among higher-income households, suggesting differences in access to information. The findings provide revealed-preference evidence that families value school climate quality.Citation
Crespin, Rene A. 2026. "The Value of School Social Climate Information: Evidence from Chicago Housing Transactions." American Economic Journal: Economic Policy 18 (3): 163–96. DOI: 10.1257/pol.20230136Additional Materials
JEL Classification
- D83 Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
- H75 State and Local Government: Health; Education; Welfare; Public Pensions
- I21 Analysis of Education
- I28 Education: Government Policy
- J13 Fertility; Family Planning; Child Care; Children; Youth
- J45 Public Sector Labor Markets
- J81 Labor Standards: Working Conditions