Template-Type: ReDIF-Paper 1.0 Author-Name: Jacopo Bizzotto Author-Name-First: Jacopo Author-Name-Last: Bizzotto Author-Workplace-Name: Oslo Business School, Oslo Metropolitan University Author-Name: Adrien Vigier Author-Name-First: Adrien Author-Name-Last: Vigier Author-Workplace-Name: University of Oxford Title: A Case for Tiered School Systems Abstract: We study a mechanism design problem addressing simultaneously how students should be grouped and graded. We argue that the effort-maximizing school systems exhibit coarse stratification and more lenient grading at the top-tier schools than at the bottom-tier schools. Our study contributes to the ongoing policy debate on school tracking. Creation-Date: 2022-08-23 File-URL: https://doi.org/10.48550/arXiv.2208.10894 File-Format: text/html DOI: 10.48550/arXiv.2208.10894 Handle: RePEc:oml:wpaper:202205