American Economic Review Vol. 101 No. 3 2011
Teacher Mobility Responses to Wage Changes: Evidence from a Quasi-Natural Experiment
Abstract
This paper utilizes a Norwegian experiment with exogenous wage changes to study teachers' turnover decisions. Within a completely centralized wage setting system, teachers in schools with a high degree of teacher vacancies in the past got a wage premium of about 10 percent during the period 1993–94 to 2002–03. The empirical strategy exploits that several schools switched status during the empirical period. In a fixed effects framework, I find that the wage premium reduces the probability of voluntary quits by six percentage points, which implies a short run labor supply elasticity of about 1¼.
- DOI
- 10.1257/aer.101.3.460
- Volume
- 101
- Issue
- 3
- Pages
- 460-465
- Language
- en
- Sources
- bibtex:phds-export.bib crossref openalex