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As classrooms in the U.S. become increasingly diverse, the need for effective diversity practices in education is paramount. This study examines the impact of school climate and teacher self-efficacy variables on diversity practices, utilizing data from the 2018 Teaching and Learning International Survey (TALIS) with 2,207 U.S. secondary teachers. Path analysis revealed self-efficacy in student engagement and multicultural self-efficacy partially mediated the implementation of effective diversity practices. These insights highlight the crucial roles of fostering a positive school climate, enhancing teacher self-efficacy, and promoting multicultural competence in adopting diversity practices. By understanding these complex pathways, educational institutions and policymakers can develop targeted strategies to support teachers in creating inclusive and culturally responsive learning environments that embrace student diversity.