This paper analyzes data on 11,600 students and their teachers who were ran
domly assigned to different size classes from kindergarten through third gr
ade. Statistical methods are used to adjust for nonrandom attrition and tra
nsitions between classes. The main conclusions are (1) on average, performa
nce on standardized tests increases by four percentile points the first yea
r students attend small classes; (2) the test score advantage of students i
n small classes expands by about one percentile point per year in subsequen
t years; (3) teacher aides and measured teacher characteristics have little
effect; (4) class size has a larger effect for minority students and those
on free lunch; (5) Hawthorne effects were unlikely.