Information, Incentives, and Education Policy provides an interesting and original overview of some of the most important ideas from economics concerning the design and performance of education systems. Neal’s main contribution is to provide a conceptual framework for thinking about how to best assess the performance of teachers and schools, how to attract, assess, and motivate good educators, and how to design and assess school choice within public school systems as well as charter schools and voucher programs.

Derek Neal’s wisdom in returning to first principles in this book generates a unique perspective that ties together economic theory and evidence in a way that will help advance the scientific foundation for education policy and move it in new directions.

In this book, Derek Neal lays out an economics framework for constructing and evaluating education policy. I recommend this book to those teaching graduate courses and advanced undergraduate courses. Even established researchers have much to gain from this book, which reminds us to keep economics front and center in the study of the economics of education.

Neal has his economist lenses firmly in place as he considers issues in education that range from the fundamental reasons for government investment in schools to the role that parental choice can and should play in determining where kids go to school. He succeeds in showing that the economic perspective offers plenty of instructive insights about American education…A valuable book from which readers stand to learn a lot.

Most education researchers will find, as I have, that they can learn a great deal from the book.