Table 7.
The fiscal cost of absence (year 2010).
| (1) | |
|---|---|
| Panel A: Fiscal cost of absence | |
| Average monthly salary (Rs). | 11,368 |
| Number of teachers | 3,949,338 |
| Total loss due to absence (Rs. millions) | |
| Allowed absence (8%) | 92,699 |
| Allowed absence (9%) | 86,773 |
| Allowed absence (10%) | 80,847 |
| Panel B: Marginal returns to investing in governance | |
| Student teacher ratio (STR) | 31.7 |
| Effective student teacher ratio (ESTR) | 41.5 |
| Effect of increase inspection probability by 10 percentage points | |
| Annual cost (Rs. millions) | 448.0 |
| Annual savings from reduced teacher absence (Rs. millions) | 4509.6 |
| Expected effective student teacher ratio | 41.1 |
| Cost to produce equal effect through teacher hiring | 5742.0 |
Source: Authors' calculations; DISE. Notes: All figures are in 2010 prices. Teacher salaries data are from Teacher Long and School Census Data. Data on number of teachers, number of schools, and enrollment are from DISE State Report Cards. Simulation assumes that one inspection every 3 months reduces absence linearly by 6.4 percentage points. Inspector costs are assumed to be two times teacher salaries, travel costs are assumed to be 80% of monthly salary, and an inspector is assumed to work 200 days a year and inspect two schools every day. Detailed calculations are available in appendix tables A9 and A10.