Book excerpt: Living Standards Measurement Study No. 107. Lost investment opportunities for society and the inefficient provision of public schooling are just some of the reasons why developing countries are concerned with low school completion rates. This study investigates the underlying causes of school attrition, paying particular attention to how school quality affects dropout rates. The central finding is that children are strongly influenced in their schooling decisions by the quality of their prospective school. The authors suggest that altering the character of the schools may prove an effective method of keeping students in school. The study will benefit education policymakers who need fundamental data on determinants of school leaving.