Sunday, July 13, 2014

Assorted Links

1. Economists make parking at Carnegie Mellon more efficient.  (Thanks to my former student Paul Tomkiel for sending me this article!)

2. Economic impact follies - convention center edition.  (H/T Jayson Lusk)

3. An old article on teacher compensation - but very good.  

So what does this tell us? I generally dislike any discussion of prices or wages being too high or too low. Individual prices or wages may be wrong for you and what you value, but rates in the market are determined by having people who are willing to both buy and sell at that rate. Unfortuantely, this is not the wage-setting system that prevails for government employees, so we are forced into trying to argue determinations of “fair.”
So here is what I see from the data — it is certainly hard to argue that teachers are grossly underpaid. A good indicator is that government teachers are paid about 8% more than private school teachers, whose compensation packages are more likley to represent a true supply-and-demand rate.

No comments:

Post a Comment