Schools across the country ave ending the practice of grouping student
s based on ability, in part, because of research indicating that track
ing hurts low-ability students without helping students ts of other ab
ility levels. Using a nationally representative survey conducted by th
e National Center for Education Statistics, (NCES) we reexamine the im
pact of tracking on high school student achievement through the estima
tion of a standard education production function. This approach allows
us to control for the possibility that track is correlated with facto
rs such as class size and teacher education. In addition, we address t
he possibility that there are unobserved student or school characteris
tics that affect both achievement and track placement. Our results ind
icate that abolishing tracking in America's schools would have a large
positive impact on achievement for students currently in the lower tr
acks, but that this increase in achievement would come at the expense
of students in upper-track classes.