Search EdWorkingPapers

Search for EdWorkingPapers here by author, title, or keywords.

Preferences, Selection, and the Structure of Teacher Compensation

Human capital shapes income, inequality, and growth. In the public sphere, human-capital formation depends largely on the selection and retention of teachers. To understand how to improve selection and retention, I use a discrete-choice experiment to estimate teacher preferences for compensation structure, working conditions, and contracts. High-performing teachers have stronger preferences for schools offering performance pay, which implies it promotes positive selection. Under a variety of school objectives, schools appear to underpay in salary and performance pay while overpaying in retirement. The results suggest significant efficiency gains from restructuring compensation: teacher welfare and student achievement can be simultaneously much improved.

Teachers, Labor Markets, Compensation, Salaries, Pay-for-performance, Teacher Selection,Teacher Retention
Education level
Document Object Identifier (DOI)

EdWorkingPaper suggested citation:

Johnston, Andrew C.. (). Preferences, Selection, and the Structure of Teacher Compensation. (EdWorkingPaper: -202). Retrieved from Annenberg Institute at Brown University:

Machine-readable bibliographic record: RIS, BibTeX