Does Greater Financial Incentives Leads to a Reduction of Cases of Absenteeism?

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Teaching is perhaps one of the most important professions in the whole world. It allows every people to learn the things that are essential in functioning within the society, which they can hone, develop, and then teach to the succeeding generations. In other words, teaching allows for the culmination of knowledge that becomes improved and learned by everyone from one generation to the next. However, due to the demands of the profession, educators can face different constraints in keeping up with their responsibilities. In some cases, teachers have been reported to incur absences and exhibit tardiness, which could jeopardize the learning of the young ones. In a paper, entitled ‘Incentives Work: Getting Teachers to Come to School,’ Dulfo et al. (2012), tried to find the solution to this trend by asking the question “Does greater financial incentives leads to a reduction of cases of absenteeism?” A question that would be further discussed in the succeeding sections of this paper.
In the development of this paper, Dulfo et al. (2012), has sought to find any correlation between the level of financial incentives and number of absenteeism in Rural India. In order to do this, the authors have considered “salaries as a nonlinear function of attendance”, which is essential in order to differentiate the effects of salaries, additional incentives, and direct monitoring. Additionally, another identification strategy of the authors was to shift the different incentive bonuses within the month, in the aim of looking for the educators’ responsiveness to these incentives as soon as they were made public. Through a regression-discontinuity approach, these data were then ...