The Economics of Teacher Supply in Indonesia
This paper examines the phenomenon of the over-supply of teachers but shortage of qualified teachers in Indonesia. Using a theoretical framework of government-dominated market with government-set wage rate and demand for teachers, the analysis expl...
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| Format: | Policy Research Working Paper |
| Language: | English |
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2012
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| Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090622091245 http://hdl.handle.net/10986/4167 |
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okr-10986-41672021-04-23T14:02:15Z The Economics of Teacher Supply in Indonesia Chen, Dandan ABILITY OF TEACHERS ACADEMIC ABILITY ACADEMIC RESEARCH CAREER CAREER CHOICE CAREERS CERTIFIED TEACHERS COLLEGE EDUCATION COLLEGE GRADUATE COLLEGE GRADUATES ECONOMICS OF EDUCATION EDUCATED LABOR FORCE EDUCATED TEACHERS EDUCATED WORKERS EDUCATION QUALITY EDUCATIONAL ATTAINMENT EDUCATIONAL QUALITY EMPLOYMENT ENROLLMENT ENROLLMENT RATES FAMILY LIFE FEMALE GRADUATES FEMALE TEACHERS FUTURE EDUCATION HIGH SCHOOL HUMAN DEVELOPMENT HUMAN RESOURCES JUNIOR SECONDARY LABOR FORCE LABOUR MARKET LEARNING OUTCOMES LEARNING PROCESS LEVEL OF EDUCATION LITERATURE MINISTRY OF EDUCATION MOBILITY NEW ENTRANTS NUMBER OF TEACHERS OVERSUPPLY OF TEACHERS PAPERS PARTICIPATION OF WOMEN PRIMARY LEVEL PRIMARY SCHOOL PRIMARY SCHOOL TEACHERS PUPIL-TEACHER RATIO PUPIL-TEACHER RATIOS PUPILS PER TEACHER PUPILTEACHER RATIO QUALIFIED TEACHERS RETENTION OF TEACHERS RURAL AREAS SALARY INCREASES SCHOOL AGE SCHOOL SURVEY SCHOOL TEACHING SCHOOLING SCHOOLS SECONDARY SCHOOL SECONDARY SCHOOL TEACHERS SENIOR SECONDARY STUDENT LEARNING SUPPLY OF GRADUATES TEACHER TEACHER CANDIDATES TEACHER EMPLOYMENT TEACHER QUALITY TEACHER SALARIES TEACHER SHORTAGE TEACHER SUPPLY TEACHER TRAINING TEACHING TEACHING ABILITY TEACHING FORCE TEACHING JOB WORKERS This paper examines the phenomenon of the over-supply of teachers but shortage of qualified teachers in Indonesia. Using a theoretical framework of government-dominated market with government-set wage rate and demand for teachers, the analysis explores how teacher supply, particularly the composition of the teaching force with low or high qualification, would be determined by current and future public policies. Using 2001 to 2008 Indonesian Labor Force Survey data, the paper further estimates the potential effect of the most recent teacher law, which could give college educated teachers a significant pay increase, on the composition of the Indonesian teaching force with differentiated education backgrounds. Using a sample of workers with college education, the author finds that the relative wage rate of teachers and that of alternative occupations significantly influence the decision of college educated workers to become teachers. It is also found that the wage rate set by the most recent teacher law would increase the share of teachers approximately from 16 to 30 percent of the college-educated labor force. This increase that is due to the new government-set wage rate, would result in a pupil-teacher ratio of 24 to 25 pupils per teacher with college education, but will require a more than 31 percent increase in the wage bill for teacher salaries. The empirical approach of this paper is derived from a structural model that takes into account the endogeneity of the wage rate and corrects for sample-selection bias due to occupational choice. 2012-03-19T19:11:09Z 2012-03-19T19:11:09Z 2009-06-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090622091245 http://hdl.handle.net/10986/4167 English Policy Research working paper ; no. WPS 4975 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper East Asia and Pacific East Asia and Pacific Southeast Asia Asia Indonesia |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ABILITY OF TEACHERS ACADEMIC ABILITY ACADEMIC RESEARCH CAREER CAREER CHOICE CAREERS CERTIFIED TEACHERS COLLEGE EDUCATION COLLEGE GRADUATE COLLEGE GRADUATES ECONOMICS OF EDUCATION EDUCATED LABOR FORCE EDUCATED TEACHERS EDUCATED WORKERS EDUCATION QUALITY EDUCATIONAL ATTAINMENT EDUCATIONAL QUALITY EMPLOYMENT ENROLLMENT ENROLLMENT RATES FAMILY LIFE FEMALE GRADUATES FEMALE TEACHERS FUTURE EDUCATION HIGH SCHOOL HUMAN DEVELOPMENT HUMAN RESOURCES JUNIOR SECONDARY LABOR FORCE LABOUR MARKET LEARNING OUTCOMES LEARNING PROCESS LEVEL OF EDUCATION LITERATURE MINISTRY OF EDUCATION MOBILITY NEW ENTRANTS NUMBER OF TEACHERS OVERSUPPLY OF TEACHERS PAPERS PARTICIPATION OF WOMEN PRIMARY LEVEL PRIMARY SCHOOL PRIMARY SCHOOL TEACHERS PUPIL-TEACHER RATIO PUPIL-TEACHER RATIOS PUPILS PER TEACHER PUPILTEACHER RATIO QUALIFIED TEACHERS RETENTION OF TEACHERS RURAL AREAS SALARY INCREASES SCHOOL AGE SCHOOL SURVEY SCHOOL TEACHING SCHOOLING SCHOOLS SECONDARY SCHOOL SECONDARY SCHOOL TEACHERS SENIOR SECONDARY STUDENT LEARNING SUPPLY OF GRADUATES TEACHER TEACHER CANDIDATES TEACHER EMPLOYMENT TEACHER QUALITY TEACHER SALARIES TEACHER SHORTAGE TEACHER SUPPLY TEACHER TRAINING TEACHING TEACHING ABILITY TEACHING FORCE TEACHING JOB WORKERS |
| spellingShingle |
ABILITY OF TEACHERS ACADEMIC ABILITY ACADEMIC RESEARCH CAREER CAREER CHOICE CAREERS CERTIFIED TEACHERS COLLEGE EDUCATION COLLEGE GRADUATE COLLEGE GRADUATES ECONOMICS OF EDUCATION EDUCATED LABOR FORCE EDUCATED TEACHERS EDUCATED WORKERS EDUCATION QUALITY EDUCATIONAL ATTAINMENT EDUCATIONAL QUALITY EMPLOYMENT ENROLLMENT ENROLLMENT RATES FAMILY LIFE FEMALE GRADUATES FEMALE TEACHERS FUTURE EDUCATION HIGH SCHOOL HUMAN DEVELOPMENT HUMAN RESOURCES JUNIOR SECONDARY LABOR FORCE LABOUR MARKET LEARNING OUTCOMES LEARNING PROCESS LEVEL OF EDUCATION LITERATURE MINISTRY OF EDUCATION MOBILITY NEW ENTRANTS NUMBER OF TEACHERS OVERSUPPLY OF TEACHERS PAPERS PARTICIPATION OF WOMEN PRIMARY LEVEL PRIMARY SCHOOL PRIMARY SCHOOL TEACHERS PUPIL-TEACHER RATIO PUPIL-TEACHER RATIOS PUPILS PER TEACHER PUPILTEACHER RATIO QUALIFIED TEACHERS RETENTION OF TEACHERS RURAL AREAS SALARY INCREASES SCHOOL AGE SCHOOL SURVEY SCHOOL TEACHING SCHOOLING SCHOOLS SECONDARY SCHOOL SECONDARY SCHOOL TEACHERS SENIOR SECONDARY STUDENT LEARNING SUPPLY OF GRADUATES TEACHER TEACHER CANDIDATES TEACHER EMPLOYMENT TEACHER QUALITY TEACHER SALARIES TEACHER SHORTAGE TEACHER SUPPLY TEACHER TRAINING TEACHING TEACHING ABILITY TEACHING FORCE TEACHING JOB WORKERS Chen, Dandan The Economics of Teacher Supply in Indonesia |
| geographic_facet |
East Asia and Pacific East Asia and Pacific Southeast Asia Asia Indonesia |
| relation |
Policy Research working paper ; no. WPS 4975 |
| description |
This paper examines the phenomenon of
the over-supply of teachers but shortage of qualified
teachers in Indonesia. Using a theoretical framework of
government-dominated market with government-set wage rate
and demand for teachers, the analysis explores how teacher
supply, particularly the composition of the teaching force
with low or high qualification, would be determined by
current and future public policies. Using 2001 to 2008
Indonesian Labor Force Survey data, the paper further
estimates the potential effect of the most recent teacher
law, which could give college educated teachers a
significant pay increase, on the composition of the
Indonesian teaching force with differentiated education
backgrounds. Using a sample of workers with college
education, the author finds that the relative wage rate of
teachers and that of alternative occupations significantly
influence the decision of college educated workers to become
teachers. It is also found that the wage rate set by the
most recent teacher law would increase the share of teachers
approximately from 16 to 30 percent of the college-educated
labor force. This increase that is due to the new
government-set wage rate, would result in a pupil-teacher
ratio of 24 to 25 pupils per teacher with college education,
but will require a more than 31 percent increase in the wage
bill for teacher salaries. The empirical approach of this
paper is derived from a structural model that takes into
account the endogeneity of the wage rate and corrects for
sample-selection bias due to occupational choice. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Chen, Dandan |
| author_facet |
Chen, Dandan |
| author_sort |
Chen, Dandan |
| title |
The Economics of Teacher Supply in Indonesia |
| title_short |
The Economics of Teacher Supply in Indonesia |
| title_full |
The Economics of Teacher Supply in Indonesia |
| title_fullStr |
The Economics of Teacher Supply in Indonesia |
| title_full_unstemmed |
The Economics of Teacher Supply in Indonesia |
| title_sort |
economics of teacher supply in indonesia |
| publishDate |
2012 |
| url |
http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090622091245 http://hdl.handle.net/10986/4167 |
| _version_ |
1764390232725127168 |