Shortage-field Incentives2012

Shortages in the teaching subfields of math, science, special and bilingual education have been one of the most persistent problems in teacher labor markets. This problem is in part due to the single salary schedule by which most public school teachers are paid, and which usually only gives pay increases for years of experience and additional credentials. However, in recent years, to combat shortages a minority of school districts have begun to offer additional financial incentives to teachers in shortage-fields. However, there has been little rigorous empirical evidence on whether these incentives are effective for changing labor market outcomes. Utilizing an Instrumental Variables Difference-in-Differences model with a novel instrument, I estimate whether districts that provide such...