Reading Wars: May the Phonics Be With You

• In Event: Effectiveness of Early Literacy Policies: Evidence from Four States

Abstract

Little is known about the efficacy of public policy-led classroom literacy interventions, particularly in the context of the 40-year-long "Reading Wars" that have permeated public education and literacy discourse. The fervent debate has recently reached a tipping point stemming from a growth in the "science of reading" movement spurred by a long-standing consensus in the psychology science literature finding that students learn to read through sounding out words (i.e., phonetically), which is at odds with the, until recently, relatively more popular "whole language" mode of instruction where teachers emphasize rote memorization, pictures of words, and context.

This paper investigates the effect of Texas's Reading First (RF) Initiative Grant program, which promoted phonics instruction, on various educational outcomes. Texas's RF initiative provided expert guidance on using assessment data to guide instruction and professional development, offering targeted support for students who struggle with reading, and implementing a research-based phonics reading program. Through the initiative, the state awarded over $500 million in grants to certain districts based on specific eligibility criteria, which we exploit to estimate the effects of RF on student test scores, disciplinary outcomes, and long-run post-secondary outcomes. 

To assess the effectiveness of this grant program, we leverage detailed administrative student-level data from Texas, which allows us to examine outcomes ranging from an individual's K-12 years through their early experience in the labor market. We use data from 1994 to 2023. These data are unique because we can assess the effect on K-12 test scores, attendance, and disciplinary outcomes (e.g., suspensions). We then examine whether this reading intervention had a long-run impact by leveraging the data on college-going and wages.

To identify the causal effect of the RF intervention on student outcomes, we leverage the state's cut-off-based grant eligibility criteria. School districts became eligible for the funds if the percentage of third-grade students who failed the state's 2002 English reading tests exceeded 13.6 percent (the state-wide average fail rate). Using this cut-off, we employ a regression discontinuity design to estimate student outcomes around the eligibility threshold. We also use a differences-in-discontinuity approach that enables us to leverage the pre- and post-nature of the RF program with the discontinuous policy variation, which allows us to present event-study estimates that evaluate the dynamic nature of the program.

Thus far, we have found that the RF initiative increased third-grade reading test scores. Interestingly, the effects persist for at least 8 years for third-graders in districts exposed to the policy but dissipate for students once they move on to the next grade. Specifically, we find that students in districts that received RF funds in the third-grade experience higher reading scores until the fifth grade. We also examine heterogeneity and the effects of the RF program on long-run college and labor market outcomes.

Author

• Alberto Ortega, Indiana University
  Presenting Author