High dropout rates among students who repeated grades are often cited
as evidence that grade retention is harmful. This article uses event h
istory analysis to explore whether and how a grade retention influence
d graduation outcomes among one cohort of youths from an urban school
system. Repeating a grade from kindergarten to sixth grade was associa
ted with a substantial increase in the odds of dropping out even after
controlling for differences in background and postretention grades an
d attendance. This article explores whether grade retention may influe
nce school dropout because it makes students overage for grade. Studen
ts who ended sixth grade overage for grade experienced substantial dis
engagement during middle school; nearly one quarter dropped out, and t
hose who remained had significant declines in attendance. I find that
the impact of being overage for grade during adolescence may explain a
large proportion of the higher dropout rates among retained youths.