We study the relative performance of two policy-relevant value-added models--a one-step fixed effect model and a two-step aggregated residuals model--using a simulated data set well grounded in the value-added literature. A key feature of our data generating process is that student achievement depends on a continuous measure of economic…

The specifics of how growth models should be constructed and used for educational evaluation is a topic of lively policy debate in states and school districts nationwide. In this article, we take up the question of model choice--framed within a policy context--and examine three competing approaches. The first approach, reflected in the popular…