Rethinking K-12 Assessment Framework

There are inherent information asymmetry problems in education that are characterised using the lens of the principal-agent framework. Principal-agent problems exist when the principal hires an agent to act on her behalf but the interests of the principal and the agent are not perfectly aligned. This necessitates that the principal has information to monitor the agent’s effort. Typically, in education, there is information asymmetry between parent-child, teacher-child, parent-school/teacher, parent-administrator, administrator-administrator, and administrator-teacher.