Utilizing a 4-year longitudinal dataset (2007-08 to 2010-11) of 212 public secondary schools
from two districts in Nepal, I conduct panel regression analyses to determine the association
between public school high stakes examination outcomes and measures of private sector
competition. I find that there does not seem to be a significant positive or negative association
between public school outcomes and the extent of private competition in recent years.
However, there is evidence to suggest that the gap between public and private school
outcomes is higher in localities with higher private sector growth, providing suggestive
evidence of stratification.