This study attempts to isolate the potential sources of grade inflation and to measure their relative importance. We incorporate existing models of grade inflation into a model of grade inflation at the department level. Our data comprise 1683 separate courses taught in 28 different academic departments by 3176 distinct instructors at a large public university over two decades. Our results suggest that incentives to inflate grades vary according to characteristics of academic departments. However, the vast majority (over 90%) of grade inflation observed in our data is estimated to be a result of either university-level factors or instructor-specific characteristics.
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Jewell et al. (2011) studied this question.
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