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The paper investigates the impact of peer enrolment in preschool on students’ cognitive and noncognitive outcomes in China’s middle schools and explores the potential mechanisms through which the peer effects may operate. Using the exogenous variation in peer preschool enrolment across classes within schools, the study finds that a higher proportion of classmates who have preschool experience consistently has positive impacts on students’ academic achievement. I also find that peer preschool enrolment has spillover effects on students’ noncognitive outcomes. The mechanism analysis reveals that the peer effects may work through inter-student relationships, class and school atmosphere, and behaviours of students’ friends.

The peer effects of preschool: evidence from China’s middle school