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Would children perform better in school if they were paid for receiving high grades?

As far as I know, schools do not give children material incentive (e.g. money or tangible rewards) for high performance and demonstrated learning. Yet, research shows that children do not develop understanding of abstract concepts (e.g. the value of education) until the age of 12 ( http://psychology.about.com/od/piagetstheory/p/formaloperation.htm ).

Does providing kids concrete, physical rewards for high grades boost motivation or performance?
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tynamite
tynamite's avatar Yes, but it would also increase the amount of truants and dropouts for the students who can't get good grades. You would be giving with one hand, and taking away with another.

Think of giving financial incentives for grades, in the same bracket as grammar schools or private education. Yes they help the top students, but the others, it'll increase the gap between educated and not educated.

In a public school setting, such systems would be a disaster.
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