Late Start with Extra Schooling: The Effect of School Entry-Age Increase and the Introduction of Preparatory Year*

This paper analyzes the combined effect of school entry-age increase and the introduction of preparatory year (pre-school) on educational achievement using a difference-in-difference specification. Achievement is assessed using the score on national standardized tests across a range of subjects. The analysis uses the change in state policy across two states in Australia to estimate the effect. Policies were enacted in different years and affect different cohorts. I find positive effects for several subjects across different grades. Results are robust to falsification tests. However, cohorts starting school during the policy implementation period seem to have been adversely affected.