This paper was prepared for the Program on Education Policy and Governance conference: Mobilizing the Private Sector for Public Education. The conference, held on October 5 and 6, 2005 at the John F. Kennedy School of Government, was co-sponsored by the World Bank.
“Concession schools” is an educational program that was lunched in 1999 in the city of Bogotá, Colombia. It consisted on a contract between a group of private schools and the public educational system in which private agents provide education for low-income people. This paper test three main hypothesis concerning the impact of concessions over quality of education: first, dropout rates are lower in concession schools than in other, similar schools; second, test score shows at least not difference between concession schools and similar public ones; third, schools under the influence of concessions have lower dropout rates as well. The paper present, using propensity score and matching estimators, evidence in favour of the three hypothesis.