IDEAS home Printed from https://ideas.repec.org/a/eee/ecoedu/v31y2012i3p15-29.html
   My bibliography  Save this article

Teacher salaries and teacher aptitude: An analysis using quantile regressions

Author

Listed:
  • Gilpin, Gregory A.

Abstract

This study investigates the relationship between salaries and scholastic aptitude for full-time public high school humanities and mathematics/sciences teachers. For identification, we rely on variation in salaries between adjacent school districts within the same state. The results indicate that teacher aptitude is positively correlated with teacher salaries with an elasticity point estimate of 0.132. However, using quantile regressions, we find the elasticity estimates form an inverted U-shape across the scholastic aptitude distribution, and that higher aptitude teachers are more profoundly affected by the percentage of students eligible for free lunch and local street crime, while lower aptitude teachers are more profoundly affected by local education support. Furthermore, studying mathematics/sciences teachers, we find that while the elasticity estimates maintain an inverted U-shape, scholastic aptitude is not correlated with changes in salaries for the lower 40 percentiles of the aptitude distribution.

Suggested Citation

  • Gilpin, Gregory A., 2012. "Teacher salaries and teacher aptitude: An analysis using quantile regressions," Economics of Education Review, Elsevier, vol. 31(3), pages 15-29.
  • Handle: RePEc:eee:ecoedu:v:31:y:2012:i:3:p:15-29
    DOI: 10.1016/j.econedurev.2012.01.003
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0272775712000052
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.econedurev.2012.01.003?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Steven G. Rivkin & Eric A. Hanushek & John F. Kain, 2005. "Teachers, Schools, and Academic Achievement," Econometrica, Econometric Society, vol. 73(2), pages 417-458, March.
    2. Alan B. Krueger, 1999. "Experimental Estimates of Education Production Functions," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(2), pages 497-532.
    3. Gilpin, Gregory & Kaganovich, Michael, 2012. "The quantity and quality of teachers: Dynamics of the trade-off," Journal of Public Economics, Elsevier, vol. 96(3), pages 417-429.
    4. Eide, Eric & Showalter, Mark H., 1998. "The effect of school quality on student performance: A quantile regression approach," Economics Letters, Elsevier, vol. 58(3), pages 345-350, March.
    5. Figlio, David N., 1997. "Teacher salaries and teacher quality," Economics Letters, Elsevier, vol. 55(2), pages 267-271, August.
    6. Stern, David, 1989. "Educational cost factors and student achievement in grades 3 and 6: Some new evidence," Economics of Education Review, Elsevier, vol. 8(2), pages 149-158, April.
    7. Clotfelter, Charles & Glennie, Elizabeth & Ladd, Helen & Vigdor, Jacob, 2008. "Would higher salaries keep teachers in high-poverty schools? Evidence from a policy intervention in North Carolina," Journal of Public Economics, Elsevier, vol. 92(5-6), pages 1352-1370, June.
    8. Ehrenberg, Ronald G. & Brewer, Dominic J., 1994. "Do school and teacher characteristics matter? Evidence from High School and Beyond," Economics of Education Review, Elsevier, vol. 13(1), pages 1-17, March.
    9. Charles T. Clotfelter & Helen F. Ladd & Jacob L. Vigdor, 2007. "How and Why do Teacher Credentials Matter for Student Achievement?," NBER Working Papers 12828, National Bureau of Economic Research, Inc.
    10. Ma, Lingjie & Koenker, Roger, 2006. "Quantile regression methods for recursive structural equation models," Journal of Econometrics, Elsevier, vol. 134(2), pages 471-506, October.
    11. Daniel Aaronson & Lisa Barrow & William Sander, 2007. "Teachers and Student Achievement in the Chicago Public High Schools," Journal of Labor Economics, University of Chicago Press, vol. 25(1), pages 95-135.
    12. Jesse Levin, 2001. "For whom the reductions count: A quantile regression analysis of class size and peer effects on scholastic achievement," Empirical Economics, Springer, vol. 26(1), pages 221-246.
    13. Strauss, Robert P. & Sawyer, Elizabeth A., 1986. "Some new evidence on teacher and student competencies," Economics of Education Review, Elsevier, vol. 5(1), pages 41-48, February.
    14. Husain, Muna & Millimet, Daniel L., 2009. "The mythical 'boy crisis'?," Economics of Education Review, Elsevier, vol. 28(1), pages 38-48, February.
    15. Player, Daniel, 2009. "Monetary returns to academic ability in the public teacher labor market," Economics of Education Review, Elsevier, vol. 28(2), pages 277-285, April.
    16. Christopher Jepsen & Steven Rivkin, 2002. "What is the Tradeoff Between Smaller Classes and Teacher Quality?," NBER Working Papers 9205, National Bureau of Economic Research, Inc.
    17. C. Kirabo Jackson, 2009. "Student Demographics, Teacher Sorting, and Teacher Quality: Evidence from the End of School Desegregation," Journal of Labor Economics, University of Chicago Press, vol. 27(2), pages 213-256, April.
    18. Krueger, Alan B & Whitmore, Diane M, 2001. "The Effect of Attending a Small Class in the Early Grades on College-Test Taking and Middle School Test Results: Evidence from Project STAR," Economic Journal, Royal Economic Society, vol. 111(468), pages 1-28, January.
    19. Hanushek, Eric A, 1986. "The Economics of Schooling: Production and Efficiency in Public Schools," Journal of Economic Literature, American Economic Association, vol. 24(3), pages 1141-1177, September.
    20. Gilpin, Gregory A., 2011. "Reevaluating the effect of non-teaching wages on teacher attrition," Economics of Education Review, Elsevier, vol. 30(4), pages 598-616, August.
    21. Levinson, Arik M., 1988. "Reexamining teacher preferences and compensating wages," Economics of Education Review, Elsevier, vol. 7(3), pages 357-364, June.
    22. Jonah E. Rockoff, 2004. "The Impact of Individual Teachers on Student Achievement: Evidence from Panel Data," American Economic Review, American Economic Association, vol. 94(2), pages 247-252, May.
    23. Hanushek, Eric A., 2011. "The economic value of higher teacher quality," Economics of Education Review, Elsevier, vol. 30(3), pages 466-479, June.
    24. Bonesronning, Hans & Falch, Torberg & Strom, Bjarne, 2005. "Teacher sorting, teacher quality, and student composition," European Economic Review, Elsevier, vol. 49(2), pages 457-483, February.
    25. Donald R. Winkler, 1975. "Educational Achievement and School Peer Group Composition," Journal of Human Resources, University of Wisconsin Press, vol. 10(2), pages 189-204.
    26. Eric A. Hanushek & John F. Kain & Steven G. Rivkin, 1999. "Do Higher Salaries Buy Better Teachers?," NBER Working Papers 7082, National Bureau of Economic Research, Inc.
    27. Susanna Loeb & Marianne E. Page, 2000. "Examining The Link Between Teacher Wages And Student Outcomes: The Importance Of Alternative Labor Market Opportunities And Non-Pecuniary Variation," The Review of Economics and Statistics, MIT Press, vol. 82(3), pages 393-408, August.
    28. Imazeki, Jennifer, 2005. "Teacher salaries and teacher attrition," Economics of Education Review, Elsevier, vol. 24(4), pages 431-449, August.
    29. Hirofumi Uzawa, 1962. "Production Functions with Constant Elasticities of Substitution," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 29(4), pages 291-299.
    30. Podgursky, Michael & Monroe, Ryan & Watson, Donald, 2004. "The academic quality of public school teachers: an analysis of entry and exit behavior," Economics of Education Review, Elsevier, vol. 23(5), pages 507-518, October.
    31. Summers, Anita A & Wolfe, Barbara L, 1977. "Do Schools Make a Difference?," American Economic Review, American Economic Association, vol. 67(4), pages 639-652, September.
    32. Dale Ballou, 1996. "Do Public Schools Hire the Best Applicants?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 111(1), pages 97-133.
    33. Mimi Engel & Brian A. Jacob, 2011. "New Evidence on Teacher Labor Supply," NBER Working Papers 16802, National Bureau of Economic Research, Inc.
    34. Dan Goldhaber & Emily Anthony, 2007. "Can Teacher Quality Be Effectively Assessed? National Board Certification as a Signal of Effective Teaching," The Review of Economics and Statistics, MIT Press, vol. 89(1), pages 134-150, February.
    35. Joshua D. Angrist & Victor Lavy, 1999. "Using Maimonides' Rule to Estimate the Effect of Class Size on Scholastic Achievement," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(2), pages 533-575.
    36. Heutel, Garth, 2009. "Testing implications of a tournament model of school district salary schedules," Economics of Education Review, Elsevier, vol. 28(1), pages 143-151, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Gjefsen, Hege Marie, 2020. "Wages, teacher recruitment, and student achievement," Labour Economics, Elsevier, vol. 65(C).
    2. Quinby, Laura D. & Wettstein, Gal, 2021. "Do deferred benefit cuts for current employees increase separation?," Labour Economics, Elsevier, vol. 73(C).
    3. Hatsor, Limor, 2012. "Occupational choice: Teacher quality versus teacher quantity," Labour Economics, Elsevier, vol. 19(4), pages 608-623.
    4. Richard Cebula & Franklin Mixon & Mark Montez, 2015. "Teachers’ salaries and human capital, and their effects on academic performance: an institution-level analysis of Los Angeles County high schools," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 39(2), pages 347-356, April.
    5. Balch, Ryan & Springer, Matthew G., 2015. "Performance pay, test scores, and student learning objectives," Economics of Education Review, Elsevier, vol. 44(C), pages 114-125.
    6. Helge Arends, 2017. "Equal Living Conditions vs. Cultural Sovereignty? Federalism Reform, Educational Poverty and Spatial Inequalities in Germany," Publius: The Journal of Federalism, CSF Associates Inc., vol. 47(4), pages 673-706.
    7. Greaves, Ellen & Sibieta, Luke, 2019. "Constrained optimisation? Teacher salaries, school resources and student achievement," Economics of Education Review, Elsevier, vol. 73(C).
    8. Zhou, Jinyan & Du, Ping & Zhao, Wen & Feng, Siche, 2022. "Skill requirements and remunerations in the private teacher labor market: Estimations with online advertisements in China," International Journal of Educational Development, Elsevier, vol. 92(C).
    9. Grönqvist, Erik & Hensvik, Lena & Thoresson, Anna, 2022. "Teacher career opportunities and school quality," Labour Economics, Elsevier, vol. 77(C).
    10. Keneth Muhwezi & Robert Wamala & Leonard K. Atuhaire, 2017. "Retention Of Academia At Makerere University: A Time-To-Event Analysis," Working papers 2017-03-13, Voice of Research.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gregory Gilpin, 2011. "Salary Schedules, Teacher Sorting, and Teacher Quality," CAEPR Working Papers 2011-004, Center for Applied Economics and Policy Research, Department of Economics, Indiana University Bloomington.
    2. Anton Bekkerman & Gregory Gilpin, 2011. "Cost-Effective Hiring in U.S. High Schools: Estimating Optimal Teacher Quantity and Quality Decisions," Caepr Working Papers 2011-007, Center for Applied Economics and Policy Research, Economics Department, Indiana University Bloomington.
    3. Gregory A. Gilpin & Anton Bekkerman, 2012. "Cost-effective hiring in US high schools: estimating optimal teacher quantity and quality decisions," Applied Economics Letters, Taylor & Francis Journals, vol. 19(14), pages 1421-1424, September.
    4. Johnston, Andrew C., 2021. "Preferences, Selection, and the Structure of Teacher Pay," IZA Discussion Papers 14831, Institute of Labor Economics (IZA).
    5. Andrew Agopsowicz & Chris Robinson & Ralph Stinebrickner & Todd Stinebrickner, 2020. "Careers and Mismatch for College Graduates: College and Noncollege Jobs," Journal of Human Resources, University of Wisconsin Press, vol. 55(4), pages 1194-1221.
    6. Jose Maria Cabrera & Dinand Webbink, 2020. "Do Higher Salaries Yield Better Teachers and Better Student Outcomes?," Journal of Human Resources, University of Wisconsin Press, vol. 55(4), pages 1222-1257.
    7. Limor Hatsor, 2014. "Allocation of Resources in Educational Production: The Budget Puzzle," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 16(6), pages 854-883, December.
    8. Gregory Gilpin & Michael Kaganovich, 2009. "The Quantity and Quality of Teachers: A Dynamic Trade-off," CESifo Working Paper Series 2516, CESifo.
    9. Rosalind Levacic & Stephen Machin & David Reynolds & Anna Vignoles & James Walker, 2000. "The Relationship between Resource Allocation and Pupil Attainment: A Review," CEE Discussion Papers 0002, Centre for the Economics of Education, LSE.
    10. Gilpin, Gregory & Kaganovich, Michael, 2012. "The quantity and quality of teachers: Dynamics of the trade-off," Journal of Public Economics, Elsevier, vol. 96(3), pages 417-429.
    11. Dinand Webbink & José María Cabrera, 2016. "Do higher salaries yield better teachers and better student outcomes?," Documentos de Trabajo/Working Papers 1604, Facultad de Ciencias Empresariales y Economia. Universidad de Montevideo..
    12. C. Kirabo Jackson, 2013. "Match Quality, Worker Productivity, and Worker Mobility: Direct Evidence from Teachers," The Review of Economics and Statistics, MIT Press, vol. 95(4), pages 1096-1116, October.
    13. Scott E. Carrell & James E. West, 2010. "Does Professor Quality Matter? Evidence from Random Assignment of Students to Professors," Journal of Political Economy, University of Chicago Press, vol. 118(3), pages 409-432, June.
    14. Figlio, D. & Karbownik, K. & Salvanes, K.G., 2016. "Education Research and Administrative Data," Handbook of the Economics of Education,, Elsevier.
    15. Douglas Harris & Tim R. Sass, 2006. "The Effects of Teacher Training on Teacher Value Added," Working Papers wp_2006_03_01, Department of Economics, Florida State University.
    16. Gilpin, Gregory & Kaganovich, Michael, 2012. "The quantity and quality of teachers: Dynamics of the trade-off," Journal of Public Economics, Elsevier, vol. 96(3), pages 417-429.
    17. Maria De Paola & Michela Ponzo & Vincenzo Scoppa, 2013. "Class size effects on student achievement: heterogeneity across abilities and fields," Education Economics, Taylor & Francis Journals, vol. 21(2), pages 135-153, March.
    18. Chingos, Matthew M. & Peterson, Paul E., 2011. "It's easier to pick a good teacher than to train one: Familiar and new results on the correlates of teacher effectiveness," Economics of Education Review, Elsevier, vol. 30(3), pages 449-465, June.
    19. Graham McKee & Katharine Sims & Steven Rivkin, 2015. "Disruption, learning, and the heterogeneous benefits of smaller classes," Empirical Economics, Springer, vol. 48(3), pages 1267-1286, May.
    20. Leigh, Andrew, 2012. "Teacher pay and teacher aptitude," Economics of Education Review, Elsevier, vol. 31(3), pages 41-53.

    More about this item

    Keywords

    Education quality; Mathematics and sciences teachers; Teacher aptitude; Teacher salaries; Wage gradient;
    All these keywords.

    JEL classification:

    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures
    • I2 - Health, Education, and Welfare - - Education
    • J4 - Labor and Demographic Economics - - Particular Labor Markets

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecoedu:v:31:y:2012:i:3:p:15-29. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/econedurev .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.