Joint Discussion Paper Series in Economics 04-2016
This paper contributes to the economics of examination rules. We show how rational students reallocate their learning effort as a response to a charge for the second exam attempt, a cap on the maximum resit mark, an adjustment of the passing standard, a variation of the time span between two attempts, a minimum requirement to qualify for the second attempt, and a malus points account. The effort maximizing rule is the malus account, a charge for the second attempt delivers the highest overall passing probability.
student performance resits examination rules standard setting higher education