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Wage Elasticity of the Teacher Supply in Switzerland

Author

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  • Wolter, Stefan C.

    () (University of Bern)

  • Denzler, Stefan

    () (Swiss Co-ordination Center for Research in Education)

Abstract

In order to learn more about the wage elasticity of the teacher supply in Switzerland, this paper estimates wages for teachers and non-teachers. The data used are ten surveys of graduates of all Swiss universities for the period of 1981-1999. The data allows us to estimate the wage elasticity for entry wages of upper secondary school teachers. In the cases examined, the wage differential is highly significant and shows a wage elasticity for the teacher supply of 0.12% to 0.18%. This elasticity is substantially lower than what has been found in the literature for other countries. It is probably due to the fact that teachers’ salaries are generally high in Switzerland - teachers here enjoy a positive wage differential over those in other occupations, the opposite of what is normally the situation elsewhere.

Suggested Citation

  • Wolter, Stefan C. & Denzler, Stefan, 2003. "Wage Elasticity of the Teacher Supply in Switzerland," IZA Discussion Papers 733, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp733
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    References listed on IDEAS

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    1. Eric A. Hanushek & EJohn F. Kain & Steven G. Rivkin, 2004. "Why Public Schools Lose Teachers," Journal of Human Resources, University of Wisconsin Press, vol. 39(2).
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    3. Peter Temin, 2002. "Teacher Quality and the Future of America," NBER Working Papers 8898, National Bureau of Economic Research, Inc.
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    5. Dolton, P. J. & Makepeace, G. H., 1993. "Female labour force participation and the choice of occupation: The supply of teachers," European Economic Review, Elsevier, vol. 37(7), pages 1393-1411, October.
    6. R. Mark Gritz & Neil D. Theobald, 1996. "The Effects of School District Spending Priorities on Length of Stay in Teaching," Journal of Human Resources, University of Wisconsin Press, vol. 31(3), pages 477-512.
    7. Richard J. Murnane & Randall J. Olsen, 1990. "The Effects of Salaries and Opportunity Costs on Length of Stay in Teaching: Evidence from North Carolina," Journal of Human Resources, University of Wisconsin Press, vol. 25(1), pages 106-124.
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    9. Murnane, Richard J & Olsen, Randall J, 1989. "The Effects of Salaries and Opportunity Costs on Duration in Teaching: Evidence from Michigan," The Review of Economics and Statistics, MIT Press, vol. 71(2), pages 347-352, May.
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    11. 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.
    12. Peter Temin, 2002. "Teacher Quality and the Future of America," Eastern Economic Journal, Eastern Economic Association, vol. 28(3), pages 285-300, Summer.
    13. Dale Ballou & Michael Podgursky, 1998. "Teacher recruitment and retention in public and private schools," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 17(3), pages 393-417.
    14. Mont, Daniel & Rees, Daniel I, 1996. "The Influence of Classroom Characteristics on High School Teacher Turnover," Economic Inquiry, Western Economic Association International, vol. 34(1), pages 152-167, January.
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    Citations

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    Cited by:

    1. Julia Varga, 2017. "The Effects of Policies Concerning Teachers’ Wages on Students’ Performance," Budapest Working Papers on the Labour Market 1701, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences.
    2. Stefan Denzler & Stefan C. Wolter, 2009. "Laufbahnentscheide im Lehrberuf aus bildungsökonomischer Sicht," Economics of Education Working Paper Series 0041, University of Zurich, Department of Business Administration (IBW).
    3. Hof, Stefanie & Strupler Leiser, Mirjam & Wolter, Stefan C., 2011. "Career Changers in Teaching Jobs: A Case Study Based on the Swiss Vocational Education System," IZA Discussion Papers 5806, Institute for the Study of Labor (IZA).
    4. Varga, Júlia, 2007. "Kiből lesz ma tanár?. A tanári pálya választásának empirikus elemzése
      [Who becomes a teacher today?. An empirical analysis of choosing the teaching profession]
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(7), pages 609-627.
    5. Stefan C. Wolter & Stefan Denzler & Bernhard A. Weber, 2003. "Betrachtungen zum Arbeitsmarkt der Lehrer in der Schweiz," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 72(2), pages 305-319.
    6. Stefanie Hof & Mirjam Strupler & Stefan C. Wolter, 2011. "Quereinsteiger in den Lehrberuf am Beispiel der schweizerischen Berufsbildung," Economics of Education Working Paper Series 0059, University of Zurich, Department of Business Administration (IBW).
    7. Varga, Júlia, 2013. "A közalkalmazotti béremelés hatása a tanárok pályaelhagyási döntéseire
      [The effect of a public-sector pay increase on teachers attrition]
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(5), pages 579-600.
    8. Denzler, Stefan & Wolter, Stefan C., 2008. "Self-Selection into Teaching: The Role of Teacher Education Institutions," IZA Discussion Papers 3505, Institute for the Study of Labor (IZA).
    9. Stephen Machin & Patrick A. Puhani, 2005. "Special Issue on the Economics of Education - Policies and Empirical Evidence: Editorial," German Economic Review, Verein für Socialpolitik, vol. 6(3), pages 259-267, August.

    More about this item

    Keywords

    teachers; labour supply; wage elasticity; university graduates; Switzerland;

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets

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