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DOCUMENT RESUME ED 298 673 EA 020 372 AUTHOR Alexander, Kern, Ed.; Monk, David H., Ed. TITLE Attracting and Compensating America's Teachers. Eighth Annual Yearbook of the American Education Finance Association. INSTITUTION American Education Finance Association. REPORT NC ISBN-0-88730-203-3 PUB DATE 87 NOTE 308p. AVAILABLE FROM Ballinger Publishing Company, 54 Church Street, Cambridge, MA 02138 ($35.00 prepaid). PUB TYPE Books (010) Inf'rmation Analyses (070) EDRS PRICE MFOI Plus Postage. PC Not Available from EDRS. DESCRIPTORS *Compensation (Remuneration); Educational Economics; Elementary Secondary Education; Expenditures; Merit Pay; Retirement Benefits; Salary Wage Differentials; Teacher Education; *Teacher Employment Benefits; *Teacher Recruitment; *Teacher Salaries; Teacher Supply and Demand; *Teaching (Occupation) ABSTRACT Focusing on the classroom teacher as the key component in the educational process, this yearbook reviews recent school reform upheavals and their effects on teacher compensation, availability and quality of teachers, teacher retirement systems and related issues. After introductory observations on teachers' economic subsidies by Kern Alexander, the following chapters are included: (1) "Teachers in the Economic System" by Patricia Anthony; (2) "Teacher Education Recommendations in the School Reform Reports" by K. Forbis Jordan; (3) "The Supply of U.S. Teachers: Quality for the Twenty-First Century" by James N. Fox; (4) "Teachers' Salaries: An International Perspective" by Stephen B. Lawton; (5) "Restructuring Teacher Compensation Systems: An Analysis of Three Incentive Strategies" by Betty Malen and others; (6) "Merit Pay: Issues and Solutions" by Lloyd E. Frohreich; (7) "Merit Pay and Teaching as a Career" by Stephen L. Jacobson; (8) "Funding of Teacher Education in State Universities" by Bruce A. Peseau; (9) "Judicial Requirements for Equal Pay" by Joseph C. Beckham; (10) "The Changing Condition of Teacher Retirement Systems: A Certain Past, a Tenuous Present, an Uncertain Future" by Eugene P. McLoone; and (11) "Teacher Salaries: Progress over the Decade" by Richard G. Salmon. Name and subject indices are included, along with biographical notes about the editors and contributors and a list of American Educational Finance Association officers 1987-88. (TE) 3000000000000000(X30000000000000000000000000000000000000000000000000f Reproductions supplied by EDRS are the best that can be made from the original document. 30000000000000000000M0000000000000000000000.30:3000000000000000000W30000( U.S. DEPARTMENT OF EDUCATION "PERMISSION TO REPRODUCE THIS Mice of EducatIonat Research and Improvement MATERIAL IN MICROFICHE ONLY EDUCATIONAL INFORMATION RESOURCESCENTE HAS BEEN GRANTED BY This document has been reproduced as aired Irom the person or organization Originating it L C Minor changes have been made to Improve reproduction quality Points of view or ognions statedinthis d oc u ment do not necessarily repreSert official TO THE EDUCATIONAL RESOURCES OE RI position or policy INFORMATION CENTER (ERIC)." M 4:1%. ATTRACTING AND cc? COMPENSATING " AMERICA'S TEACHERS Edited by KERN A _EXANDER Western Kentucky University and DAVID H. MONK Cornell University Eighth Annual Yearbook of the American Education Finance Association 1987 N (T) 0 BALLINGER PUBLISHING COMPANY O Cambridge, Massachusetts szt A Subsidiary of Harper & Row, Publishers, Inc. 2 VIA Copyright © 1988 by American Education FinanceAssociation. All rights reserved. No part of this publication may bereproduced, stored in a retrieval system, or transmitted in any form or 1.1 y any means,electronic, mechanical, photocopy, recording or otherwise,without the prior written consent of the publisher. International Standard Book Number: 0-88730-203-3 Library of Congress Catalog Card Number: 87-30830 Printed in the United States of America Library of Congress Cataloging-in-Publication Data Attracting and compensating America's teachers /edited by Kern Alexander and David H. Monk. p.cm. (Annual yearbook of the American Education Finance Association : 8th) Includes index. ISBN 0-88730-203-3 1. TeachersSalaries, etc.UnitedStates.2. Teachers United StatesSupply and demand.I. Alexander, Kern. II. Monk, David H.III. Series. LB 2842.2.A931987 331.12'313711'00 dc19 87-30830 CIP CONTENTS List of Figures ix List of Tables xi Preface Introduction: Observations on Teachers' Economic Subsidies Kern Alexander xix Chapter 1 Teachers in the Economic System Patricia Anthony 1 Chapter 2 Teacher Education Ra.ommendations in the School Reform Reports K. Forbis Jordan 21 Chapter 3 The Supply of U.S. Teachers: Quality for the Twenty-First Century James N. Fox 49 v Vi CONTENTS Chapter 4 Teachers' Salaries: An International Perspective Stephen B. Lawton 69 Chapter 5 Restructuring Teacher Compensation Systems: An Analysis of Three Incentive Strategies Betty Ma len, Michael J. Murphy, and Ann Weaver Hart 91 Chapter 6 Merit Pay: Issues and Solutions Lloyd E. Frohreich 143 Chapter 7 Merit Pay and Teaching as a Career Stephen L. Jacobson 161 Chapter 8 Funding of Teacher Education in State Universities Bruce A. Peseau 179 Chapter 9 Judicial Requirements for Equal Pay Joseph C. Beckham 209 Chapter 10 The Changing Condition of Teacher Retirement Systems: A Certain Past, a Tenuous Present, an Uncertain Future Eugene P. McLoone 223 Chapter 11 Teacher Salaries: Progress over the Decade Richard G. Salmon 249 CONTENTS VII Name Index 263 Subject Index 267 About the Editors 281 About the Contributors 283 American Education Finance Association Officers 1987-88 289 6 LIST OF FIGURES 5-1 Barriers to Effectiveness 132 6-1 Teacher Incentive and Compensation DecisionModel 153 7-1 The Expectancy Model of Merit Pay 167 7-2 The Effect of Experienceon Teacher Behavior 168 8-1 Average Professor's Salary 196 8-2 Operations Funds per FTE Faculty 197 8-3 University Funds per FTE Faculty 198 8-4 FTE Faculty: Support Staff Ratio 199 8-5 Average .5FTE Graduate Assistant Salary 200 ix LIST OF TABLES 1-1State Effort for Teacher Salaries and Rankamong the Fifty States, 1983 15 1-2Regional Effort for Teacher Salaries andRank among the Eight Regions, 1983 16 4-1Gross Earnings of Primary Schoolteachers inU.S. Dollars Using Purchasing Power Parities forGDP, 1982 and 1985 73 4-2Ratios of Maximum to Minimum Salaries byLevel of Instruction for Teachers in North America,Japan, and Europe 77 4-3Primary Schoolteachers' Salariesas a Percentage of Gross Domestic Product per Head in U.S. Dollars Using PPPs, 1982 and 1985 79 4-4Primary Schoolteachers' Salariesas a Percentage of Private Consumption per Head in U.S. DollarsUsing PPPs, 1982 and 1985 81 4-5Salaries in Other Occupations Relativeto Teachers' Salaries in OECD Countries, 1985 82 7-1Increases in Mean Salaries of Novice and Senior Teachers in New York State, 1974-84 171 8-1Higher Education Formula Funding Weights 187 8-2Principal Resource Variables, Forty-threeTeacher Education Programs, 1984-85 191 xi 8 Xii LIST OF TABLES 8-3Principal Productivity Variables, Forty-three Teacher Education Programs, 1984-85 192 8-4Hypothetical Level of "Resources, Based on Actual Data for Four Florida Teacher Education Programs 195 8-5Comparative Resources and Productivity, 1984-85 202 8-6 Comparative Public School and Teacher Education Costs per FTE Student 203 11-1Average Annual Salaries Paid Classroom Teachers, School Years 1976-77 to 1986-87 251 11-2 Average Annual Classroom Teacher Salaries for the Eight Geographical Regions and United States, 1976-77 to 1986-87 251 11-3The Five Highest and Lowest Ranked States Regard- ing Annual Average Salaries Paid Classroom Teachers, 1976-77 and 1986-87 253 11-4Average Annual Salaries Paid Classroom Teachers, Adjusted for Price Inflation, 1976-77 to 1986-87 254 11-5Average Annual Salaries Paid Classroom Teachers, Adjusted for Price Inflation, by Geographic Region, 1976-77 to 1986-87 255 11-6Average Annual Salaries for Classroom Teachers Con- trasted with Average Annual Salaries for Selected Occupations, Selected Years, 1978 to 1986 256 11-7Percent Current Expenditures of Personal Income, Percent Salaries Paid Classroom Teachers of Current Expenditures, and Percent Salaries Paid Classroom Teachers of Personal Income, by Geographical Region, 1976-77 and 1986-87 257 PREFACE During the 1980s U.S. public education,both K-12 and higher education, experiencedenormous societal pressure. Realizing that the nation was losing itssupremacy in international economic sys- tem, Americans scrutinized and criticized all facets of societyand proferred recommendations for substantialchanges. A series of na- tional, regional, and state commissionswas established for the pur- pose of reforming public education. Buttressed bya variety of other societal forces, including political, economic,legal, and equity issues, these study commissions often providedthe focus and unity neces- sary to encourage and rationalize school reform initiativesin state legislatures. Most of the state school reformprograms recognized that the classroom teacher was the keycomponent in the educational process, and legislative actions included provisionsdesigned to attract and retain high-quality instructional personnel.State legislatures com- monly addressed a variety of instructional personnelissues. Many of these issues concerned establishingor increasing academic eligibility standards for candidates seeking admissioninto the teaching profes- sion. Others included working conditions,administrative and instruc- tional support services, and teacher educationprograms. Nearly all state legislatures

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