We investigate the potential trade-off between some teacher characteristics, particularly teachers’ satisfaction, and different measures of pupils’ performance, in order to optimize the outputs of the Spanish education system. Our contribution to the existing literature is twofold: on the one hand, we provide estimates on the balance between teachers’ effectiveness and 4th grade students’ performance in Spain, by using recent survey data (TIMSS, 2011); on the other hand we implement a novel methodology which allows optimizing simultaneously a set of indicators on the outputs of the educational system. These analyses provide empirical evidence of the importance of investing in teacher satisfaction as a motivation mechanism for improving national educational achievement.
