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Value-Added Models

Value-added models are statistical models that try to identify the impact of programs, people, or environments on a specific outcome. In education research, the term typically refers to models that look at the impact of various inputs on student growth in achievement, where achievement is generally measured by standardized test scores. In this sense, these models fit into the broader investigation of the education production function, which describes the process of producing learning as a formula that relates various inputs to the output of learning. So, within this context, for example, educators and researchers can use a value-added model to ask whether a particular program or intervention helps raise achievement—to see “what works” in improving student learning. Such an investigation would fall under the heading of program evaluation. Alternatively, educators and researchers could also use value-added models to estimate how effective individual teachers or schools tend to be at raising their students’ achievement. These types of analyses are generally used for accountability purposes—to see who is performing well.

In all cases—whether value-added models are oriented toward program evaluation or accountability systems—the models estimate how the features, institutions, or individuals of interest improve student achievement during a specific time period. To help restrict their focus to a particular time period, the models always adjust the estimates of impact in some way for a student’s prior achievement to determine the “value added” of the input of interest after that point. It is this feature of the model—the adjustment for prior achievement—that gives it its name.

This entry begins by explaining how to compute a value-added model. It then discusses concerns with these models and how those concerns are commonly addressed. Next, the entry presents debate and controversy and concludes by reviewing research findings and summarizing the current and future outlook.

Gain Score Model

The simplest way to compute a value-added model involves averaging a simple growth measure by group over the time period of interest. So, for example, if one is interested in estimating a teacher’s value added for her students in a particular school year, one could very simply compute the average difference in each of her student’s test scores between the end of the year and the end of the prior year. As long as test scores are scaled along a continuum over time, this would produce a simple rough measure of the average growth in student learning for the teacher’s students.

Clearly, this value-added approach is better than simply judging teachers on the basis of the average test scores of their students at the end of the year. The simple average of end-of-year test scores does not take prior achievement into account and will thus provide an unfair basis of comparison for teachers. It will be unfair because some teachers might have been assigned to a classroom full of students who were high performing from the beginning while others might have been assigned to a classroom of low-performing students. If teachers were evaluated on the basis of test scores of their students at only one point in time—the end of the year—teachers with high-performing students could appear to be more effective than others, even if they actually provided very little helpful instruction. The simple value-added model described here—that is, the average “gain score” model—is a better measure by which to compare the impact of teachers than an average that does not take prior test scores into account.

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