IDEAS home Printed from https://ideas.repec.org/a/eee/ecoedu/v49y2015icp42-54.html
   My bibliography  Save this article

Changing salary structure and faculty composition within business schools: Differences across sectors and state funding levels

Author

Listed:
  • Cheslock, John J.
  • Callie, Trina M.

Abstract

We employ new data to examine how public higher education institutions adjusted the salaries and composition of their business faculty during a financially challenging period. The data's multilevel structure allows us to describe changes in between-institution inequality, within-institution inequality, and their interaction. To examine the role of finances, we compare public and private institutions and employ difference and fixed-effects models to study the effect of state appropriations. Our results indicate that financially stressed publics almost matched the salary increases of their competitors between 1999 and 2006, but reductions in the number of professorsespecially full professorsaccompanied this salary growth. The salary gap across public institutions increased, while within institutions, salary compression and salary inequality within rank grew.

Suggested Citation

  • Cheslock, John J. & Callie, Trina M., 2015. "Changing salary structure and faculty composition within business schools: Differences across sectors and state funding levels," Economics of Education Review, Elsevier, vol. 49(C), pages 42-54.
    • Handle: RePEc:eee:ecoedu:v:49:y:2015:i:c:p:42-54
    DOI: 10.1016/j.econedurev.2015.08.001
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0272775715001041
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.econedurev.2015.08.001?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. John J. Cheslock & Matt Gianneschi, 2008. "Replacing State Appropriations with Alternative Revenue Sources: The Case of Voluntary Support," The Journal of Higher Education, Taylor & Francis Journals, vol. 79(2), pages 208-229, March.
    2. Kim, E. Han & Morse, Adair & Zingales, Luigi, 2009. "Are elite universities losing their competitive edge?," Journal of Financial Economics, Elsevier, vol. 93(3), pages 353-381, September.
    3. Jeffrey R. Brown & Stephen G. Dimmock & Jun-Koo Kang & Scott J. Weisbenner, 2014. "How University Endowments Respond to Financial Market Shocks: Evidence and Implications," American Economic Review, American Economic Association, vol. 104(3), pages 931-962, March.
    4. David Card & Alexandre Mas & Enrico Moretti & Emmanuel Saez, 2012. "Inequality at Work: The Effect of Peer Salaries on Job Satisfaction," American Economic Review, American Economic Association, vol. 102(6), pages 2981-3003, October.
    5. Ehrenberg, Ronald & Kasper, Hirschel & Rees, Daniel, 1991. "Faculty turnover at American colleges and universities: Analyses of AAUP data," Economics of Education Review, Elsevier, vol. 10(2), pages 99-110, June.
    6. Ransom, Michael R, 1993. "Seniority and Monopsony in the Academic Labor Market," American Economic Review, American Economic Association, vol. 83(1), pages 221-233, March.
    7. Zoghi, Cindy, 2003. "Why have public university professors done so badly?," Economics of Education Review, Elsevier, vol. 22(1), pages 45-57, February.
    8. 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.
    9. Ronald G. Ehrenberg & Liang Zhang, 2005. "The changing nature of faculty employment," Chapters, in: Robert L. Clark & Jennifer Ma (ed.), Recruitment, Retention and Retirement in Higher Education, chapter 3, Edward Elgar Publishing.
    10. Eric P. Bettinger & Bridget Terry Long, 2010. "Does Cheaper Mean Better? The Impact of Using Adjunct Instructors on Student Outcomes," The Review of Economics and Statistics, MIT Press, vol. 92(3), pages 598-613, August.
    11. James Monks, 2007. "The Relative Earnings of Contingent Faculty in Higher Education," Journal of Labor Research, Springer, vol. 28(3), pages 487-501, July.
    12. Gordon C. Winston, 2004. "Differentiation Among US Colleges and Universities," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 24(4), pages 331-354, June.
    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. Frode Eika Sandnes, 2018. "Do Norwegian academics who publish more earn higher salaries?," Scientometrics, Springer;Akadémiai Kiadó, vol. 115(1), pages 263-281, April.
    2. Zhang, Liang & Ehrenberg, Ronald G. & Liu, Xiangmin, 2015. "Changing Faculty Employment at Four-Year Colleges and Universities in the United States," IZA Discussion Papers 9595, Institute of Labor Economics (IZA).
    3. Ádám Kun, 2018. "Publish and Who Should Perish: You or Science?," Publications, MDPI, vol. 6(2), pages 1-16, April.
    4. Ozan Jaquette & Bradley R. Curs, 2023. "Enrollment Growth and Faculty Hiring at Public Research Universities," Research in Higher Education, Springer;Association for Institutional Research, vol. 64(3), pages 349-378, May.

    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. Ozan Jaquette & Bradley R. Curs, 2023. "Enrollment Growth and Faculty Hiring at Public Research Universities," Research in Higher Education, Springer;Association for Institutional Research, vol. 64(3), pages 349-378, May.
    2. Feld, Jan & Salamanca, Nicolás & Zölitz, Ulf, 2019. "Students are almost as effective as professors in university teaching," Economics of Education Review, Elsevier, vol. 73(C).
    3. Scott E. Carrell & Michal Kurlaender, 2023. "My Professor Cares: Experimental Evidence on the Role of Faculty Engagement," American Economic Journal: Economic Policy, American Economic Association, vol. 15(4), pages 113-141, November.
    4. Pieter De Vlieger & Brian Jacob & Kevin Stange, 2018. "Measuring Instructor Effectiveness in Higher Education," NBER Chapters, in: Productivity in Higher Education, pages 209-258, National Bureau of Economic Research, Inc.
    5. Michela Braga & Marco Paccagnella & Michele Pellizzari, 2016. "The Impact of College Teaching on Students’ Academic and Labor Market Outcomes," Journal of Labor Economics, University of Chicago Press, vol. 34(3), pages 781-822.
    6. Michela Braga & Marco Paccagnella & Michele Pellizzari, 2014. "The academic and labor market returns of university professors," Temi di discussione (Economic working papers) 981, Bank of Italy, Economic Research and International Relations Area.
    7. John Bound & Breno Braga & Gaurav Khanna & Sarah Turner, 2019. "Public Universities: The Supply Side of Building a Skilled Workforce," NBER Working Papers 25945, National Bureau of Economic Research, Inc.
    8. Ehrenberg, R.G.Ronald G., 2004. "Econometric studies of higher education," Journal of Econometrics, Elsevier, vol. 121(1-2), pages 19-37.
    9. Jan Feld & Nicolás Salamanca & Ulf Zölitz, 2020. "Are Professors Worth It? The Value-Added and Costs of Tutorial Instructors," Journal of Human Resources, University of Wisconsin Press, vol. 55(3), pages 836-863.
    10. Brade, Raphael & Himmler, Oliver & Jäckle, Robert, 2018. "Normatively Framed Relative Performance Feedback – Field Experiment and Replication," MPRA Paper 88830, University Library of Munich, Germany.
    11. Hilmer, Christiana E. & Hilmer, Michael J., 2020. "On the labor market for full-time non-tenure-track lecturers in economics," Economics of Education Review, Elsevier, vol. 78(C).
    12. Di Xu & Florence Xiaotao Ran, 2021. "The Impacts Of Different Types Of College Instructors On Students’ Academic And Labor Market Outcomes," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 40(1), pages 225-257, January.
    13. Tian, Zhilei & Wei, Yi & Li, Fang, 2019. "Who are better teachers? The effects of tenure-track and part-time faculty on student achievement," China Economic Review, Elsevier, vol. 53(C), pages 140-151.
    14. Bernt Bratsberg & James F. Ragan & John T. Warren, 2010. "Does Raiding Explain The Negative Returns To Faculty Seniority?," Economic Inquiry, Western Economic Association International, vol. 48(3), pages 704-721, July.
    15. David N. Figlio & Morton O. Schapiro & Kevin B. Soter, 2015. "Are Tenure Track Professors Better Teachers?," The Review of Economics and Statistics, MIT Press, vol. 97(4), pages 715-724, October.
    16. Jan Feld & Nicolás Salamanca & Ulf Zölitz, 2020. "Are Professors Worth It? The Value-Added and Costs of Tutorial Instructors," Journal of Human Resources, University of Wisconsin Press, vol. 55(3), pages 836-863.
    17. Zhu, Maria, 2021. "Limited contracts, limited quality? effects of adjunct instructors on student outcomes☆," Economics of Education Review, Elsevier, vol. 85(C).
    18. Wayne A Grove x & Stephen Wu, 2011. "Factors Influencing Student Performance in Economics: Class and Instructor Characteristics," Chapters, in: Gail M. Hoyt & KimMarie McGoldrick (ed.), International Handbook on Teaching and Learning Economics, chapter 33, Edward Elgar Publishing.
    19. Long, Bridget Terry & Taylor, Eric S., 2016. "When inputs are outputs: The case of graduate student instructorsAuthor-Name: Bettinger, Eric P," Economics of Education Review, Elsevier, vol. 52(C), pages 63-76.
    20. Marta De Philippis, 2021. "Multi-Task Agents and Incentives: The Case of Teaching and Research for University Professors," The Economic Journal, Royal Economic Society, vol. 131(636), pages 1643-1681.

    More about this item

    Keywords

    Faculty salaries; Salary wage differentials; State and federal aid; Resource allocation;
    All these keywords.

    JEL classification:

    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

    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:49:y:2015:i:c:p:42-54. 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.