Business schools frequently utilize AACSB's Salary Survey (Staff Compensation and Demographic Survey, or the SCDS Report) to benchmark salaries being offered by other schools. While providing ...averages based on a national sample, the SCDS Report obscures differences that might exist in salary averages between masters-granting and doctoral-granting business schools. In this paper, we demonstrate how these differences inflate salary averages for masters-granting schools and present a step-by-step methodology that all participating AACSB-accredited schools that provide survey data can deploy to get salary data that are more peer-appropriate and reflective of market expectations.
Understanding how physicians respond to payment methods is crucial for designing effective incentives and enhancing the insurance system. Previous theoretical research has explored the effects of ...payment methods on physician behavior based on a two-level incentive path; however, empirical evidence to validate these theoretical frameworks is lacking. To address this research gap, we conducted a laboratory experiment to investigate physicians' behavioral responses to three types of internal salary incentives based on diagnosis-related-group (DRG) and fee-for-service (FFS).
A total of 150 medical students from Capital Medical University were recruited as participants. These subjects played the role of physicians in choosing the quantity of medical services for nine types of patients under three types of salary incentives-fixed wage, constant fixed wage with variable performance wage, and variable fixed wage with variable performance wage, of which performance wage referred to the payment method balance under FFS or DRG. We collected data on the quantities of medical services provided by the participants and analyzed the results using the Friedman test and the fixed effects model.
The results showed that a fixed wage level did not have a significant impact on physicians' behavior. However, the patients benefited more under the fixed wage compared to other salary incentives. In the case of a floating wage system, which consisted of a constant fixed wage and a variable performance wage from the payment method balance, an increase in performance wage led to a decrease in physicians' service provision under DRG but an increase under FFS. Consequently, this resulted in a decrease in patient benefit. When the salary level remained constant, but the composition of the salary varied, physicians' behavior changed slightly under FFS but not significantly under DRG. Additionally, patient benefits decreased as the ratio of performance wages increased under FFS.
While using payment method balance as physicians' salary may be effective in transferring incentives of payment methods to physicians through internal compensation frameworks, it should be used with caution, particularly when the measurement standard of care is imperfect.
Eight months after the government’s initial pay announcement for 2022-23 in July last year, nurses have a new pay offer on the table for this year, and for the forthcoming financial year.
The system of higher education in Russia, as in many other countries, is in the midst of reforms related to the global trends of globalization and transformation to a knowledge economy. In order to ...successfully respond to these global challenges, it is necessary to improve the quality of the university sector and rethink the role of professors in enhancing academic productivity. A 20-year period of recession after the collapse of the Soviet Union has led to a diversification of universities and teachers and resulted in both a sharp fall in academic salaries and a decline in the attractiveness of the academic profession. Since the professoriate constitutes the main source of academic productivity, this article assesses the consequences of the decline in the academic sector before the start of major reforms of academic salaries. Using the data from the 'The Changing Academic Profession' project (CAP-Russia 2012 subsample), we identified and evaluated the activities of the professoriate that determine the income of university staff. The results show that, in general, the number of publications positively affected academic salaries, but for certain indicators of research activity, the effects are ambiguous. Administrative duties are important for academic salaries, with a positive effect ranging from 15 to 51%. Seniority also has a positive impact on a professor's salary. The most consistent results in the pre-reform period were obtained for National research universities (NRUs), where academic salaries are determined by research activity (articles in academic journals) and administrative duties. Salaries rise with seniority, which corresponds to the human capital theory (as well as alternative theories). Salaries in NRUs also reflect gender equality. The results of the study can be used to assess the consequences of the recession in the academic sector in Russia and as a baseline for analyzing current reforms in universities.
BackgroundSocial welfare policies such as the minimum wage can affect population health, though the impact may differ by the level of unemployment experienced by society at a given time.MethodsWe ran ...difference-in-differences models using monthly data from all 50 states and Washington, DC from 1990 to 2015. We used educational attainment to define treatment and control groups. The exposure was the difference between state and federal minimum wage in US$2015, defined both by the date the state law became effective and lagged by 1 year. Models included state and year fixed effects, and additional state-level covariates to account for state-specific time-varying confounding. We assessed effect modification by the state-level unemployment rate, and estimated predicted suicide counts under different minimum wage scenarios.ResultsThe effect of a US$1 increase in the minimum wage ranged from a 3.4% decrease (95% CI 0.4 to 6.4) to a 5.9% decrease (95% CI 1.4 to 10.2) in the suicide rate among adults aged 18–64 years with a high school education or less. We detected significant effect modification by unemployment rate, with the largest effects of minimum wage on reducing suicides observed at higher unemployment levels.ConclusionMinimum wage increases appear to reduce the suicide rate among those with a high school education or less, and may reduce disparities between socioeconomic groups. Effects appear greatest during periods of high unemployment.
The factors that account for the differences in the economic productivity of urban areas have remained difficult to measure and identify unambiguously. Here we show that a microscopic derivation of ...urban scaling relations for economic quantities vs. population, obtained from the consideration of social and infrastructural properties common to all cities, implies an effective model of economic output in the form of a Cobb-Douglas type production function. As a result we derive a new expression for the Total Factor Productivity (TFP) of urban areas, which is the standard measure of economic productivity per unit of aggregate production factors (labor and capital). Using these results we empirically demonstrate that there is a systematic dependence of urban productivity on city population size, resulting from the mismatch between the size dependence of wages and labor, so that in contemporary US cities productivity increases by about 11% with each doubling of their population. Moreover, deviations from the average scale dependence of economic output, capturing the effect of local factors, including history and other local contingencies, also manifest surprising regularities. Although, productivity is maximized by the combination of high wages and low labor input, high productivity cities show invariably high wages and high levels of employment relative to their size expectation. Conversely, low productivity cities show both low wages and employment. These results shed new light on the microscopic processes that underlie urban economic productivity, explain the emergence of effective aggregate urban economic output models in terms of labor and capital inputs and may inform the development of economic theory related to growth.
Prodded by economists in the 1970s, corporate directors began adding stock options and bonuses to the already-generous salaries of CEOs with hopes of boosting their companies' fortunes. Guided by ...largely unproven assumptions, this trend continues today. So what are companies getting in return for all the extra money? Not much, according to the empirical data. In Indispensable and Other Myths: Why the CEO Pay Experiment Failed and How to Fix It, Michael Dorff explores the consequences of this development. He shows how performance pay has not demonstrably improved corporate performance and offers studies showing that performance pay cannot improve performance on the kind of tasks companies ask of their CEOs. Moreover, CEOs of large established companies do not typically have much impact on their companies’ results. In this eye-opening exposé, Dorff argues that companies should give up on the decades-long experiment to mold compensation into a corporate governance tool and maps out a rationale for returning to the era of guaranteed salaries.
PDF
