A student who doesn’t quite make the grade can borrow grade points from the teacher at a primary school in Shanghai.
Students who do poorly on a test can ask their teachers to lend them a few points to improve their grade, but twice as many points must be paid back on the next test, assuming they achieve a better mark.
If they don’t, interest on the loan continues to run at 100% per test until it is paid off.
It is reported that about 40% of students at the school have taken out such loans.
One 10-year-old earned an extra 19 points on a test to pay off her “maths mortgage.”
Tyler Cowen wants to see a free market in grade points, with students allowed to trade and borrow among themselves.