The Importance of Pecuniary and Non-Pecuniary Rewards in Job Choice
AbstractA positive correlation between pecuniary and non-pecuniary job returns does not necessarily invalidate Adam Smith’s thesis about compensating wage differentials. Compensation should still occur within a given set of job opportunities for each individual. This paper tests empirically a model that distinguishes between factors which affect the number and types of potential jobs open to a person, and, preferences which determine the ultimate choice from these options. It was found that women, especially women with children under 18 years of age, people who are more religious and people from English speaking backgrounds appear to value non-pecuniary job advantages more highly than other groups, ceteris paribus. Other labour market characteristics, such as further schooling, and maturity appear to make people select pecuniary job rewards over intrinsic satisfaction.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Melbourne Institute of Applied Economic and Social Research, The University of Melbourne in its series Melbourne Institute Working Paper Series with number wp2001n18.
Length: 22 pages
Date of creation: Dec 2001
Date of revision:
Contact details of provider:
Postal: Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Victoria 3010 Australia
Phone: +61 3 8344 2100
Fax: +61 3 8344 2111
Web page: http://www.melbourneinstitute.com/
More information through EDIRC
This paper has been announced in the following NEP Reports:
- NEP-ALL-2002-02-10 (All new papers)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Ward, Melanie E & Sloane, Peter J, 2000. "Non-pecuniary Advantages versus Pecuniary Disadvantages; Job Satisfaction among Male and Female Academics in Scottish Universities," Scottish Journal of Political Economy, Scottish Economic Society, vol. 47(3), pages 273-303, August.
- Andrew E. Clark and Andrew J. Oswald, .
"Satisfaction and Comparison Income,"
Economics Discussion Papers
419, University of Essex, Department of Economics.
- Harper, Barry, 1995. "Male Occupational Mobility in Britain," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 57(3), pages 349-69, August.
- Drakopoulos, S. A. & Theodossiou, I., 1997. "Job satisfaction and target earnings," Journal of Economic Psychology, Elsevier, vol. 18(6), pages 693-704, November.
- Clark, Andrew E., 1997.
"Job satisfaction and gender: Why are women so happy at work?,"
Elsevier, vol. 4(4), pages 341-372, December.
- Andrew Clark, . "Job Satisfaction and Gender. Why are Women so Happy at Work?," Economics Discussion Papers 415, University of Essex, Department of Economics.
- Clark, A.E., 1995. "Job Satisfaction and Gender: Why Are Women so Happy at Work?," DELTA Working Papers 95-10, DELTA (Ecole normale supérieure).
- Andrew Clark & Yannis Georgellis & Peter Sanfey, .
"Job Satisfaction, Wage changes and Quits: Evidence from Germany,"
Economics and Finance Discussion Papers
98-06, Economics and Finance Section, School of Social Sciences, Brunel University.
- Andrew Clark & Yannis Georgellis & Peter Sanfey, 1997. "Job Satisfaction, Wage Changes and Quits: Evidence from Germany," Studies in Economics 9711, Department of Economics, University of Kent.
- Richard B. Freeman, 1977.
"Job Satisfaction as an Economic Variable,"
NBER Working Papers
0225, National Bureau of Economic Research, Inc.
- George A. Akerlof & Andrew K. Rose & Janet L. Yellen, 1988. "Job Switching and Job Satisfaction in the U.S. Labor Market," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 19(2), pages 495-594.
- Boskin, Michael J, 1974. "A Conditional Logit Model of Occupational Choice," Journal of Political Economy, University of Chicago Press, vol. 82(2), pages 389-98, Part I, M.
- Petri Böckerman & Pekka Ilmakunnas, 2005. "Do Job Disamenities Raise Wages or Ruin Job Satisfaction?," Labor and Demography 0501001, EconWPA.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jenny Chen).
If references are entirely missing, you can add them using this form.