Word: controllers
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...Meanwhile, in Washington, each school got to choose three of the payment metrics, and some of the elements ended up being outcomes like test scores. But the students were also paid on the basis of attendance and behavior - two actions that are under their direct control. Under this hybrid model, the kids who got paid did better on their standardized reading tests. Because of the small size of the school system, the Washington sample was less well balanced than those in the other cities. But its results contain one remarkable finding: the kids who were helped the most...
...Kids may respond better to rewards for specific actions because there is less risk of failure. They can control their attendance; they cannot necessarily control their test scores. The key, then, may be to teach kids to control more overall - to encourage them to act as if they can indeed control everything, and reward that effort above and beyond the actual outcome...
...Knowledge Is Power Program (KIPP), one of the most successful charter-school networks in the U.S., has been doling out financial incentives for 15 years, using a model that happens to align perfectly with the results of Fryer's study. KIPP students get paid for actions they can control - getting to school on time, participating in class and having a positive attitude - with "money" they can redeem for supplies at the school store. Over the years, KIPP leaders, who now run 82 schools nationwide, have learned a lot about which rewards work and which do not. They have found that...
...struggles with China over the relative value of its currency capture this dynamic well. The renminbi - it means "the people's money" - is the place where China's control economy touches the free-market world. Just as tensions with the Soviet Union sharpened at places where systems collided, the same will be true of China: the renminbi is the new Berlin. It needs to be handled with appropriate sophistication by both sides, especially since it reveals a deeper tension. Chinese find it inconceivable that the dollar will be the only global reserve currency in 10 years; Americans find it inconceivable...
...After weeks of intemperate rhetoric on both sides of the Pacific - on issues ranging from trade to the Dalai Lama to Taiwan - cooler heads in both Beijing and Washington now seem to be back in control. Barack Obama and Hu Jintao had an hour-long phone conversation last week, after which the Chinese President agreed to attend a nuclear summit in Washington. And on the volatile issue of trade, a grand bargain of sorts now appears to be taking shape: In return for delaying a decision on whether to list China as a "currency manipulator" - long a dream of protectionists...