Research " SEEING THE INVISIBLE: A TEST OF RATIONAL EXPECTATIONS IN THE VALUATION OF HUMAN CAPITAL "

SEEING THE INVISIBLE: A TEST OF RATIONAL EXPECTATIONS IN THE VALUATION OF HUMAN CAPITAL Preferred districts need not have particularly effective schools, however, when peer group enters into parental valuations, as wealthy families can be “stuck” in ineffective schools by their unwillingness to abandon the peer group offered. For parental valuations that place substantial weight on school effectiveness, this becomes less likely as Tiebout choice increases parents’ exit options.