One major area of Susanna Loeb's research concerns the labour markets of teachers, which she has explored notably with Donald Boyd, James Wyckoff, Hamilton Lankford, and Pamela Grossman.

[22] Finally, in research with Marianne Page, Loeb finds that - contrary to earlier estimates - raising teacher wages by 10% reduces high school dropout rates by 3-4% once the true opportunity costs of being a teacher - e.g. alternative wage opportunities and non-pecuniary job attributes - are taken into account.

[23] A second and more recent area of Loeb's research studies the role of principals with regard to school and student success.

[25][26] Moreover, only principals' organization management skills are found to consistently predict student achievement growth and other measures of school success.

[30] Two topics that Loeb has researched with Valerie Lee are the fading effects of the Head Start Programme and the impact of school sizes.

[33] Loeb extensively reviews the literature on school accountability in her corresponding article with David Figlio in the Handbook of the Economics of Education.

[34] Finally, together with an eclectic range of co-authors, Loeb has analysed the effect of different types of childcare on children's development.

[35] Moreover, center-based childcare programmes are found to increase the cognitive growth of children from poor families, especially if caregivers are more sensitive and responsive, improve their social development if caregivers are highly educated, and reduce behavioural problems compared to children in poor communities who receive family childcare.