I study predictive effects of teachers and schools on test scores in fourth through eighth grade and outcomes later in life such as college attendance and earnings. The predictive effects have the following form: predict the fraction of a classroom attending college at age 20 given the test score for a different classroom in the same school with the same teacher, and given the test score for a classroom in the same school with a different teacher. I would like to have predictive effects that condition on averages over many classrooms, with and without the same teacher. I set up a factor model which, under certain assumptions, makes this feasible. Administrative school district data n combination with tax data were used to calculate estimates and do inference.