The Importance of Pecuniary and Non-Pecuniary Rewards in Job Choice
A 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.
|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
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.:
- Clark, Andrew E. & Oswald, Andrew J., 1994.
"Satisfaction and comparison income,"
CEPREMAP Working Papers (Couverture Orange)
- Clark, Andrew E., 1997.
"Job satisfaction and gender: Why are women so happy at work?,"
Elsevier, vol. 4(4), pages 341-372, December.
- Clark, Andrew, 1993. "Job Satisfaction and Gender. Why are Women so Happy at Work?," Economics Discussion Papers 10015, 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, School of Economics, University of Kent.
- Freeman, Richard B, 1978.
"Job Satisfaction as an Economic Variable,"
American Economic Review,
American Economic Association, vol. 68(2), pages 135-41, May.
- 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.
- 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.
- Drakopoulos, S. A. & Theodossiou, I., 1997. "Job satisfaction and target earnings," Journal of Economic Psychology, Elsevier, vol. 18(6), pages 693-704, November.
- 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.
- 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.
When requesting a correction, please mention this item's handle: RePEc:iae:iaewps:wp2001n18. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Abbey Treloar)
If references are entirely missing, you can add them using this form.