Table A8.
Marginal returns to investing in governance.
| (1) |
(2) |
(3) |
(4) |
(5) |
(6) |
|
|---|---|---|---|---|---|---|
| Student-teacher ratio (2009–2010) | Effect of increasing probability of inspection in past 3 months by 10 percentage points | Cost to produce equal effect through teacher hiring | ||||
| Student-teacher ratio | Effective student-teacher ratio | Annual cost (Rs. millions) | Annual savings from reduced teacher absence (Rs. millions) | Expected effective student-teacher ratio | Annual cost (Rs. millions) | |
| Andhra Pradesh | 17.8 | 22.7 | 31.0 | 350.8 | 22.5 | 433.5 |
| Assam | 24.5 | 33.2 | 15.9 | 154.5 | 33.0 | 204.2 |
| Bihar | 58.2 | 81.6 | 21.2 | 273.6 | 80.8 | 374.9 |
| Chattisgarh | 24.5 | 28.5 | 13.9 | 120.1 | 28.3 | 135.0 |
| Gujarat | 29.8 | 35.5 | 19.1 | 291.8 | 35.3 | 336.2 |
| Haryana | 26.8 | 32.5 | 8.8 | 118.9 | 32.3 | 139.8 |
| Himachal Pradesh | 15.4 | 22.2 | 6.8 | 56.0 | 22.0 | 79.2 |
| Jharkhand | 41.3 | 76.2 | 14.8 | 127.9 | 75.3 | 236.3 |
| Karnataka | 23.6 | 31.0 | 18.5 | 201.6 | 30.8 | 257.7 |
| Kerala | 19.6 | 23.2 | 2.0 | 56.3 | 23.1 | 64.5 |
| Madhya Pradesh | 39.8 | 54.0 | 40.6 | 250.9 | 53.5 | 332.1 |
| Maharastra | 25.7 | 29.9 | 45.0 | 486.8 | 29.7 | 546.8 |
| Orissa | 29.4 | 34.3 | 20.5 | 177.5 | 34.1 | 199.7 |
| Punjab | 20.5 | 23.7 | 10.2 | 137.4 | 23.5 | 153.2 |
| Rajasthan | 26.2 | 33.9 | 40.0 | 361.6 | 33.6 | 454.5 |
| Tamilnadu | 28.3 | 32.5 | 24.6 | 264.9 | 32.3 | 293.2 |
| Uttar Pradesh | 40.1 | 58.2 | 58.4 | 489.4 | 57.7 | 697.1 |
| Uttaranchal | 20.6 | 26.0 | 10.7 | 73.3 | 25.8 | 90.0 |
| West Bengal | 32.3 | 40.8 | 30.1 | 409.4 | 40.5 | 502.5 |
| India | 31.7 | 41.5 | 448.0 | 4509.6 | 41.1 | 5742.0 |
Source: Authors' calculations; DISE. Notes: Number of schools, number of teachers, and enrollment figures are from administrative (DISE) data. 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.