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WORKING PAPER No 3
ANALYZING CONDITIONS OF SERVICE FOR AGRICULTURAL
RESEARCHERS AN EXPERIMENT
USING EARNINGS FUNCTIONS
ntemational Service for National Aqicultural Research
The international Service for National Agricultural Research (ISNAR) began operating at its headquarters in The Hague Netherlands on September 1 1980 It was established by the Consultative Group on International Agricultural Research (CGIAR) on the basis of recommendations from an international task force for the purpose of assisting goverrunents of developing countries to strengthen their agricultural research It is a non-profit autonomous agency international in character and non-political in management staffing and operations
Of the thirteen centers in the CGIIR network ISNAP is the only one which focuses primarily on national agricultural research issues it provides advice to governments upon request on organization planning manpower development staff requirements firtancial and infrastucture requirements and related mattervs thus comp]ementing the activities of other ass 1stan-e agencies Additionally lSNAR har an active taining and communications program which cooperates with iatonal agricultural research pr eorains in developing countries
ISHAR also plays an active rol in assisting these national programs to establitsh links with both the intenational agricultural research centers and doriors
ISNIAR is upported by a rumter of the members of CGIAR an informal group of approximately 30 donors it includes countries development banks international organizations and foundations In 1985 funding for ISNARs core program was provided by
Austral ia Belgium Canada
European Economic Coivmunity Federal Republic of Germany
Ford Foundation France Ireland Italy
Netherlands
Philippines Spa in Swedjn
Switzerland
United Kingdom United States Agency for International Development
World Bank
Citation
International Servce for National Agricultural Research Analyzing Conditions of Service for Agricultural Researchers An Experiment Using Earnings Functions 1985 The Hague Netherlands
WORKING PAPER No 3
ANALYZING CONDITIONS OF SERVICE FOR AGRICULTURAL
RESEARCHERS AN EXPERIMENT
USING EARNINGS FUNCTIONS
Howard ELLIOTT and Sandra KANG
July 1985
inlrr International Service for National ricultural Research
SNq -- ING ERS
anlys~n t aL uq r ale Qa a
pbestreearchsyagr c esetrc s mdrs ev S
bra a q~r aeilsw v soQ
forma~~~pout~ flcatiors program The work 1nrgapers0 seres
enacsi program in several impoL-Eant1 was
1 These papers are iitended t o be a rapidmeans of pree n e
Y results of~wor~k and eperiences tha arestill in progres r
~ka~ead~rdudngre esh~tcoldbe of use to other
3Tey are-ntended tobea 7 efcv hI1sfriepn e
is~cussion of continuing workteb increas inthe qual tyof
final products critical comnent s welcomed
3 The series provides anul1et for diffusing materials~adnd If
that because o the6ir 1imited coeag do n6t mee the requ rements-
o eneralI audience publication
The~ sei isitnq mail1y for~ the fuJoomaerial r u
ISNA1R stafE butN t isalso vai1ab1 e r thejpublia on o dc nt
A produced bot n itns boulPtheyw sh to tae advnaeo
oportuniy
ACKNOWLEDGEMENTS
The opinions expressed in this document are the sole responsibility of
the authors
This paper represnts ar attempt to develop i fthoIologanalyzingor
conditions of service usincg administratve data or ato f row surveys
carried out as part of ISNAR rev ews of iration i ag ricultural research
systems
We would like to acknowledqe the constructive cotrnzts received from
colleagues and the assistance of those staff members who first generated
the data used in the pape r
TABLE OF CONTENTS
I INTRODUCTION 1
II THE UMA1N CAPITAL APPROACH AND THE EARNINGS FUNCrION 3
Ill THE USE OF ADMIII TI F DATA FOR POLICY ANALYSIS 9
THREE CASE STUDIES
A Dominican Republic 11
B ZImbabwe 16
C Tha i land 20
IV STAFF DEVELOPMENT AND THE EARNINGS FUNCTION 31
V CONCLUD[NG OSERVATIOHS 32
ANNElt 1 The Earningn Function Approach and its Interpretation 34
AJNEX 2 Descriptive Statistics on Key Variables 37
ANNEX 3 Human Resource Inventory Survey 39
BIBLIOGRAPHY 42
4
C- ra res arc
ag~1~ rserchr( o~ searc Tsite~wnarewqia sy
retain and mok t it scientificf laboz orce
Inany f its sstem revew-ISNAR~hsds~ -ta hgvrmn
wa osdrngarvso of the-salaries -or researchiers mo reoof
S than not in the face of loss of its big hampumn re46 rces o othe
sectors~The oft-proposed solution of paying higher salaries o
resoearchers involves howver questlona a 1ioth the Iii el~and the
structure of saaieISNAR also requires away lof Prjetng the cos
implicatofoCan recommended increase whether it be across theboard
or infavor of particular groupsin sc ce suppl 4 ~ ~ A N
present~ pae snvlpntolfrih nis~~~l~
~The~p~n~pr( a first step in e pn ol o the anlsa
of salary structure in agricultural researh ssitem sw Thepr
method can be used as asada4 part of ISNA y em rviewa joro
providinginsights ito theraward structure as a apea al -rojec to 4
A
studycondiutios~fsevqeina particularcut hear
-reogflcze thatto be~tiaeful a tool mustbe to ativelamp e to us
a Xtmuat not ioealargeprobleofdacco
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
The international Service for National Agricultural Research (ISNAR) began operating at its headquarters in The Hague Netherlands on September 1 1980 It was established by the Consultative Group on International Agricultural Research (CGIAR) on the basis of recommendations from an international task force for the purpose of assisting goverrunents of developing countries to strengthen their agricultural research It is a non-profit autonomous agency international in character and non-political in management staffing and operations
Of the thirteen centers in the CGIIR network ISNAP is the only one which focuses primarily on national agricultural research issues it provides advice to governments upon request on organization planning manpower development staff requirements firtancial and infrastucture requirements and related mattervs thus comp]ementing the activities of other ass 1stan-e agencies Additionally lSNAR har an active taining and communications program which cooperates with iatonal agricultural research pr eorains in developing countries
ISHAR also plays an active rol in assisting these national programs to establitsh links with both the intenational agricultural research centers and doriors
ISNIAR is upported by a rumter of the members of CGIAR an informal group of approximately 30 donors it includes countries development banks international organizations and foundations In 1985 funding for ISNARs core program was provided by
Austral ia Belgium Canada
European Economic Coivmunity Federal Republic of Germany
Ford Foundation France Ireland Italy
Netherlands
Philippines Spa in Swedjn
Switzerland
United Kingdom United States Agency for International Development
World Bank
Citation
International Servce for National Agricultural Research Analyzing Conditions of Service for Agricultural Researchers An Experiment Using Earnings Functions 1985 The Hague Netherlands
WORKING PAPER No 3
ANALYZING CONDITIONS OF SERVICE FOR AGRICULTURAL
RESEARCHERS AN EXPERIMENT
USING EARNINGS FUNCTIONS
Howard ELLIOTT and Sandra KANG
July 1985
inlrr International Service for National ricultural Research
SNq -- ING ERS
anlys~n t aL uq r ale Qa a
pbestreearchsyagr c esetrc s mdrs ev S
bra a q~r aeilsw v soQ
forma~~~pout~ flcatiors program The work 1nrgapers0 seres
enacsi program in several impoL-Eant1 was
1 These papers are iitended t o be a rapidmeans of pree n e
Y results of~wor~k and eperiences tha arestill in progres r
~ka~ead~rdudngre esh~tcoldbe of use to other
3Tey are-ntended tobea 7 efcv hI1sfriepn e
is~cussion of continuing workteb increas inthe qual tyof
final products critical comnent s welcomed
3 The series provides anul1et for diffusing materials~adnd If
that because o the6ir 1imited coeag do n6t mee the requ rements-
o eneralI audience publication
The~ sei isitnq mail1y for~ the fuJoomaerial r u
ISNA1R stafE butN t isalso vai1ab1 e r thejpublia on o dc nt
A produced bot n itns boulPtheyw sh to tae advnaeo
oportuniy
ACKNOWLEDGEMENTS
The opinions expressed in this document are the sole responsibility of
the authors
This paper represnts ar attempt to develop i fthoIologanalyzingor
conditions of service usincg administratve data or ato f row surveys
carried out as part of ISNAR rev ews of iration i ag ricultural research
systems
We would like to acknowledqe the constructive cotrnzts received from
colleagues and the assistance of those staff members who first generated
the data used in the pape r
TABLE OF CONTENTS
I INTRODUCTION 1
II THE UMA1N CAPITAL APPROACH AND THE EARNINGS FUNCrION 3
Ill THE USE OF ADMIII TI F DATA FOR POLICY ANALYSIS 9
THREE CASE STUDIES
A Dominican Republic 11
B ZImbabwe 16
C Tha i land 20
IV STAFF DEVELOPMENT AND THE EARNINGS FUNCTION 31
V CONCLUD[NG OSERVATIOHS 32
ANNElt 1 The Earningn Function Approach and its Interpretation 34
AJNEX 2 Descriptive Statistics on Key Variables 37
ANNEX 3 Human Resource Inventory Survey 39
BIBLIOGRAPHY 42
4
C- ra res arc
ag~1~ rserchr( o~ searc Tsite~wnarewqia sy
retain and mok t it scientificf laboz orce
Inany f its sstem revew-ISNAR~hsds~ -ta hgvrmn
wa osdrngarvso of the-salaries -or researchiers mo reoof
S than not in the face of loss of its big hampumn re46 rces o othe
sectors~The oft-proposed solution of paying higher salaries o
resoearchers involves howver questlona a 1ioth the Iii el~and the
structure of saaieISNAR also requires away lof Prjetng the cos
implicatofoCan recommended increase whether it be across theboard
or infavor of particular groupsin sc ce suppl 4 ~ ~ A N
present~ pae snvlpntolfrih nis~~~l~
~The~p~n~pr( a first step in e pn ol o the anlsa
of salary structure in agricultural researh ssitem sw Thepr
method can be used as asada4 part of ISNA y em rviewa joro
providinginsights ito theraward structure as a apea al -rojec to 4
A
studycondiutios~fsevqeina particularcut hear
-reogflcze thatto be~tiaeful a tool mustbe to ativelamp e to us
a Xtmuat not ioealargeprobleofdacco
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
WORKING PAPER No 3
ANALYZING CONDITIONS OF SERVICE FOR AGRICULTURAL
RESEARCHERS AN EXPERIMENT
USING EARNINGS FUNCTIONS
Howard ELLIOTT and Sandra KANG
July 1985
inlrr International Service for National ricultural Research
SNq -- ING ERS
anlys~n t aL uq r ale Qa a
pbestreearchsyagr c esetrc s mdrs ev S
bra a q~r aeilsw v soQ
forma~~~pout~ flcatiors program The work 1nrgapers0 seres
enacsi program in several impoL-Eant1 was
1 These papers are iitended t o be a rapidmeans of pree n e
Y results of~wor~k and eperiences tha arestill in progres r
~ka~ead~rdudngre esh~tcoldbe of use to other
3Tey are-ntended tobea 7 efcv hI1sfriepn e
is~cussion of continuing workteb increas inthe qual tyof
final products critical comnent s welcomed
3 The series provides anul1et for diffusing materials~adnd If
that because o the6ir 1imited coeag do n6t mee the requ rements-
o eneralI audience publication
The~ sei isitnq mail1y for~ the fuJoomaerial r u
ISNA1R stafE butN t isalso vai1ab1 e r thejpublia on o dc nt
A produced bot n itns boulPtheyw sh to tae advnaeo
oportuniy
ACKNOWLEDGEMENTS
The opinions expressed in this document are the sole responsibility of
the authors
This paper represnts ar attempt to develop i fthoIologanalyzingor
conditions of service usincg administratve data or ato f row surveys
carried out as part of ISNAR rev ews of iration i ag ricultural research
systems
We would like to acknowledqe the constructive cotrnzts received from
colleagues and the assistance of those staff members who first generated
the data used in the pape r
TABLE OF CONTENTS
I INTRODUCTION 1
II THE UMA1N CAPITAL APPROACH AND THE EARNINGS FUNCrION 3
Ill THE USE OF ADMIII TI F DATA FOR POLICY ANALYSIS 9
THREE CASE STUDIES
A Dominican Republic 11
B ZImbabwe 16
C Tha i land 20
IV STAFF DEVELOPMENT AND THE EARNINGS FUNCTION 31
V CONCLUD[NG OSERVATIOHS 32
ANNElt 1 The Earningn Function Approach and its Interpretation 34
AJNEX 2 Descriptive Statistics on Key Variables 37
ANNEX 3 Human Resource Inventory Survey 39
BIBLIOGRAPHY 42
4
C- ra res arc
ag~1~ rserchr( o~ searc Tsite~wnarewqia sy
retain and mok t it scientificf laboz orce
Inany f its sstem revew-ISNAR~hsds~ -ta hgvrmn
wa osdrngarvso of the-salaries -or researchiers mo reoof
S than not in the face of loss of its big hampumn re46 rces o othe
sectors~The oft-proposed solution of paying higher salaries o
resoearchers involves howver questlona a 1ioth the Iii el~and the
structure of saaieISNAR also requires away lof Prjetng the cos
implicatofoCan recommended increase whether it be across theboard
or infavor of particular groupsin sc ce suppl 4 ~ ~ A N
present~ pae snvlpntolfrih nis~~~l~
~The~p~n~pr( a first step in e pn ol o the anlsa
of salary structure in agricultural researh ssitem sw Thepr
method can be used as asada4 part of ISNA y em rviewa joro
providinginsights ito theraward structure as a apea al -rojec to 4
A
studycondiutios~fsevqeina particularcut hear
-reogflcze thatto be~tiaeful a tool mustbe to ativelamp e to us
a Xtmuat not ioealargeprobleofdacco
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
SNq -- ING ERS
anlys~n t aL uq r ale Qa a
pbestreearchsyagr c esetrc s mdrs ev S
bra a q~r aeilsw v soQ
forma~~~pout~ flcatiors program The work 1nrgapers0 seres
enacsi program in several impoL-Eant1 was
1 These papers are iitended t o be a rapidmeans of pree n e
Y results of~wor~k and eperiences tha arestill in progres r
~ka~ead~rdudngre esh~tcoldbe of use to other
3Tey are-ntended tobea 7 efcv hI1sfriepn e
is~cussion of continuing workteb increas inthe qual tyof
final products critical comnent s welcomed
3 The series provides anul1et for diffusing materials~adnd If
that because o the6ir 1imited coeag do n6t mee the requ rements-
o eneralI audience publication
The~ sei isitnq mail1y for~ the fuJoomaerial r u
ISNA1R stafE butN t isalso vai1ab1 e r thejpublia on o dc nt
A produced bot n itns boulPtheyw sh to tae advnaeo
oportuniy
ACKNOWLEDGEMENTS
The opinions expressed in this document are the sole responsibility of
the authors
This paper represnts ar attempt to develop i fthoIologanalyzingor
conditions of service usincg administratve data or ato f row surveys
carried out as part of ISNAR rev ews of iration i ag ricultural research
systems
We would like to acknowledqe the constructive cotrnzts received from
colleagues and the assistance of those staff members who first generated
the data used in the pape r
TABLE OF CONTENTS
I INTRODUCTION 1
II THE UMA1N CAPITAL APPROACH AND THE EARNINGS FUNCrION 3
Ill THE USE OF ADMIII TI F DATA FOR POLICY ANALYSIS 9
THREE CASE STUDIES
A Dominican Republic 11
B ZImbabwe 16
C Tha i land 20
IV STAFF DEVELOPMENT AND THE EARNINGS FUNCTION 31
V CONCLUD[NG OSERVATIOHS 32
ANNElt 1 The Earningn Function Approach and its Interpretation 34
AJNEX 2 Descriptive Statistics on Key Variables 37
ANNEX 3 Human Resource Inventory Survey 39
BIBLIOGRAPHY 42
4
C- ra res arc
ag~1~ rserchr( o~ searc Tsite~wnarewqia sy
retain and mok t it scientificf laboz orce
Inany f its sstem revew-ISNAR~hsds~ -ta hgvrmn
wa osdrngarvso of the-salaries -or researchiers mo reoof
S than not in the face of loss of its big hampumn re46 rces o othe
sectors~The oft-proposed solution of paying higher salaries o
resoearchers involves howver questlona a 1ioth the Iii el~and the
structure of saaieISNAR also requires away lof Prjetng the cos
implicatofoCan recommended increase whether it be across theboard
or infavor of particular groupsin sc ce suppl 4 ~ ~ A N
present~ pae snvlpntolfrih nis~~~l~
~The~p~n~pr( a first step in e pn ol o the anlsa
of salary structure in agricultural researh ssitem sw Thepr
method can be used as asada4 part of ISNA y em rviewa joro
providinginsights ito theraward structure as a apea al -rojec to 4
A
studycondiutios~fsevqeina particularcut hear
-reogflcze thatto be~tiaeful a tool mustbe to ativelamp e to us
a Xtmuat not ioealargeprobleofdacco
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
ACKNOWLEDGEMENTS
The opinions expressed in this document are the sole responsibility of
the authors
This paper represnts ar attempt to develop i fthoIologanalyzingor
conditions of service usincg administratve data or ato f row surveys
carried out as part of ISNAR rev ews of iration i ag ricultural research
systems
We would like to acknowledqe the constructive cotrnzts received from
colleagues and the assistance of those staff members who first generated
the data used in the pape r
TABLE OF CONTENTS
I INTRODUCTION 1
II THE UMA1N CAPITAL APPROACH AND THE EARNINGS FUNCrION 3
Ill THE USE OF ADMIII TI F DATA FOR POLICY ANALYSIS 9
THREE CASE STUDIES
A Dominican Republic 11
B ZImbabwe 16
C Tha i land 20
IV STAFF DEVELOPMENT AND THE EARNINGS FUNCTION 31
V CONCLUD[NG OSERVATIOHS 32
ANNElt 1 The Earningn Function Approach and its Interpretation 34
AJNEX 2 Descriptive Statistics on Key Variables 37
ANNEX 3 Human Resource Inventory Survey 39
BIBLIOGRAPHY 42
4
C- ra res arc
ag~1~ rserchr( o~ searc Tsite~wnarewqia sy
retain and mok t it scientificf laboz orce
Inany f its sstem revew-ISNAR~hsds~ -ta hgvrmn
wa osdrngarvso of the-salaries -or researchiers mo reoof
S than not in the face of loss of its big hampumn re46 rces o othe
sectors~The oft-proposed solution of paying higher salaries o
resoearchers involves howver questlona a 1ioth the Iii el~and the
structure of saaieISNAR also requires away lof Prjetng the cos
implicatofoCan recommended increase whether it be across theboard
or infavor of particular groupsin sc ce suppl 4 ~ ~ A N
present~ pae snvlpntolfrih nis~~~l~
~The~p~n~pr( a first step in e pn ol o the anlsa
of salary structure in agricultural researh ssitem sw Thepr
method can be used as asada4 part of ISNA y em rviewa joro
providinginsights ito theraward structure as a apea al -rojec to 4
A
studycondiutios~fsevqeina particularcut hear
-reogflcze thatto be~tiaeful a tool mustbe to ativelamp e to us
a Xtmuat not ioealargeprobleofdacco
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
TABLE OF CONTENTS
I INTRODUCTION 1
II THE UMA1N CAPITAL APPROACH AND THE EARNINGS FUNCrION 3
Ill THE USE OF ADMIII TI F DATA FOR POLICY ANALYSIS 9
THREE CASE STUDIES
A Dominican Republic 11
B ZImbabwe 16
C Tha i land 20
IV STAFF DEVELOPMENT AND THE EARNINGS FUNCTION 31
V CONCLUD[NG OSERVATIOHS 32
ANNElt 1 The Earningn Function Approach and its Interpretation 34
AJNEX 2 Descriptive Statistics on Key Variables 37
ANNEX 3 Human Resource Inventory Survey 39
BIBLIOGRAPHY 42
4
C- ra res arc
ag~1~ rserchr( o~ searc Tsite~wnarewqia sy
retain and mok t it scientificf laboz orce
Inany f its sstem revew-ISNAR~hsds~ -ta hgvrmn
wa osdrngarvso of the-salaries -or researchiers mo reoof
S than not in the face of loss of its big hampumn re46 rces o othe
sectors~The oft-proposed solution of paying higher salaries o
resoearchers involves howver questlona a 1ioth the Iii el~and the
structure of saaieISNAR also requires away lof Prjetng the cos
implicatofoCan recommended increase whether it be across theboard
or infavor of particular groupsin sc ce suppl 4 ~ ~ A N
present~ pae snvlpntolfrih nis~~~l~
~The~p~n~pr( a first step in e pn ol o the anlsa
of salary structure in agricultural researh ssitem sw Thepr
method can be used as asada4 part of ISNA y em rviewa joro
providinginsights ito theraward structure as a apea al -rojec to 4
A
studycondiutios~fsevqeina particularcut hear
-reogflcze thatto be~tiaeful a tool mustbe to ativelamp e to us
a Xtmuat not ioealargeprobleofdacco
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
4
C- ra res arc
ag~1~ rserchr( o~ searc Tsite~wnarewqia sy
retain and mok t it scientificf laboz orce
Inany f its sstem revew-ISNAR~hsds~ -ta hgvrmn
wa osdrngarvso of the-salaries -or researchiers mo reoof
S than not in the face of loss of its big hampumn re46 rces o othe
sectors~The oft-proposed solution of paying higher salaries o
resoearchers involves howver questlona a 1ioth the Iii el~and the
structure of saaieISNAR also requires away lof Prjetng the cos
implicatofoCan recommended increase whether it be across theboard
or infavor of particular groupsin sc ce suppl 4 ~ ~ A N
present~ pae snvlpntolfrih nis~~~l~
~The~p~n~pr( a first step in e pn ol o the anlsa
of salary structure in agricultural researh ssitem sw Thepr
method can be used as asada4 part of ISNA y em rviewa joro
providinginsights ito theraward structure as a apea al -rojec to 4
A
studycondiutios~fsevqeina particularcut hear
-reogflcze thatto be~tiaeful a tool mustbe to ativelamp e to us
a Xtmuat not ioealargeprobleofdacco
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
3 b 11
athe ser
dqa t 1cnWrw~ f s
~Th~ ~ae s~ ducioin a t ith ec I es~Ms zit -realrpolm~
Th ngbt n~ uc~on terass uct Eerig n dplusmnc
0 ex gene esa a sruesfo e hr C
stuw i is nate o A friame(Zirnl-wh eon cralla
relapeTh rei r giocioharstre asdene S ii eCn
intrdtoe heean s~ 4e alo coe
- tn
isl nonposfbl as~ Se Ietribes te~dae coaroefi Ies-L toaII a sues r par hj a tren _1
analsesandthewayin dhichgethe-datas-worevean as
conr ~ ao flStu~epadise 6 ~oire aa
relnt sutoreasd sttc u oprI a h soheibrer ce
soeveom~etsa n thesefulnss otoe pe arr e tons a twayor
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
CERAPIL~PP AND THEAIUIINGS FUNCTION
a p c trats I m~ nua
a ivetmnn pyic 1-cp a ivdalsor e
~ gf~~a1~liaeud cationi cone rte ary in an
n exer encae acquired-onapart-time b~asis The_aquisiti o
caianvolv~es rpaI costs the- i diviid a or -hi snsocsa Ti ay
binthe form of 1foregone incomie redcued pnrduCtivi y duri g t ra i gr
and diroct uition and training costs Hfowever the individfual acquirn 9 shy
the~increased level of skills will enjoy a higher level of prod cicitv_
and often a correspondingly higher level of icom e
Eduication as an investm1ent hag been shown to offer a nate of ret~r -on
inetdcptlwihi higher than that~ earna on hysa1 capital
whethe disc~ountad pnesent Ivalue of the additionaloudtpu t utng o
the trinn iscmae it h ot of proviing -that training-n i
7 dvaloped cowunries where labor markets are finely uned an
inivdalsn eangs ma btaeasamsueofis prodict ivity at
employers and comptition among empoyers ensures thatith employea can
a arnate humanselhissre t~ whchrflects the amnirt f capi1 a ea
Possesses an thecost of obta inngit
devlo ing c~ountries theprediction of eannsrom a muiU l
regression analysis of aducation and experience_ actors-s- nsgtra a
-iuunr jaola retifo matin-ad ini an ying-statist
larit-ie ch Sgge eapri nc-ipa Ide- aria of aar ha
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
be e~nns C~ dlvd a -of~ua shya Ia o a o
epeincedo a e~gc s u ean
staisicaignfi ncofEe asoitonb etvie eamr and e 4ar u er Qnal-and joa actei ri-co a-powerful -ude the~orking of the Lowla dsrcur
lt The amounrt of human capiaiposessed by a niiuld sa yrie
by he f ya~sofformal-schooling completed byan ind viduaaio-umbr
Sby~ yearsof jobexperiece in~our Lormulato weiuse a_ser ies
A~Cj~zero-one dummoy variables representing th highest deg9re ac u2 completed by theindividual instead~of ja cot ir~ou_syea re sof oo
vaibebeas ot esne~i urveys willl re or in omati~o compleited degres but not like y~ record yars 6f -schooing
4 prierceis also a very impportant deermian of produativI y especially in8cientificprofessionsan b way inw ch saa rse with experience isverr imora n~4 rin ng theabill ye
Io8ctai31 it experienced researchers In-additionothse
components ofhumnan capital we reuirvarious control var iab08 or
oherinflfuences on the earningsofanindividualThe 6fwse eXoa
pesnal nature (e g whther_ te r ismale Jraace Olta
Insittioalnatre (e~ wether the rsarcher s~d I
researc ni tet o he nis ot agralt re wet h a -iutof the capitaliyplusmntorhet eheLoccp s-a sit of hod
6s ~ nt~ o1i Oa g ny Cesa a a a senior oan ecof gre e te
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
it cu n a a
r-1 -Uer ~ oo Fe- Ea wa
-coioperei ey~ once 6o nal
-he -earnlng functindn scussed p ne ak s na orn
~nI SALARY =~a + +d e7-OT HER+ b EDU Mc EXPER EXPERSQ RES I
whe re
In ALARY- the natural~ Iog of-monthly salary~in oal Currerc
EDUC IA~ a dummy variable epreoen ig th0 hgestdegreaane
~OR insome fonulaon1 h ac ua number of yero
~rschool ig completed
EXPER~- experienceas mea sured by henumber of ~years of po -en a
wrk epe ncsice qgraduaton
-P~Q yearsjof -experienceq~eof the number of
-= lee
istitutional factiorsand
ii) AL aLeS idare resentingau-e o ae al ae
ca sse a t p e ria a a3
OTHE an array of control var a re sn esonal
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
aners 0 a a ca eprs a S
F guwo eTIncomeProf11e
EarnnqsMonth 1 NN ~
1Thes ha e o he ncoime Prot le 1S ourC Uizd a6 u1 ar
of~n a da e ereA dicuer ib
e~it1 C) t IMfqc s 1 pa e-- 0 coap e as a etuq-m -e id a~~ls a r ati th 0
ndi 1 sual ar esoa ancs
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
eoan IanerEity a cofe
a g P r hewkl ra1 nr o
WillCI tie noef 1~o n caretD~b exe
wo tbeca p~a~i egrees wniiy l dxc~dve1~f fona nae dua
ability to profi t from exprience and maintain h poductii late r in
litfe -
Th enec for the curv e to turn downward owards the-en fa pron s
4career is unertndablP when we consider hat~th6 6rve is drawn in
-crosset~io A workor ~imid-career (atthe peak)- s continuinga
receiv triig poruiisi antiipa tiori pf high produc iv oo
the remainnggtyears of h3 ae Th okr c mi towardsheen
hscreer has rela tielyf ee er years ove wi add tio-l ra ini an
provide beifits thus there s~atndency for or er orece ive 9
rainig ae rIthori ft rcardeers
re1rive earn iq toward the -end of the r6aer
I asstate tha t e degre o f nentivepovi d ea
wsa qtion 00th lve and -ucture f I e~
prse ca nadecn a
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
Earn i osIMont I 7 Im
~2
2lrUEX ec
7Cuve ~ho~ ~ ~o e e ~ u a~Ja~io~~ he
a~a~ Izt eea az~z~ 7h1yeais b~ h~~ndv dult
inevear th earyears of heMir iiduals canowee bndo es ol
Ilab esine 0~ ticcaya reacin wythei t gauate eprad rie 1
-havetheyms danc~iedp e ahe doheas e anrra)ete xeiaxiatehii laea eb nd~ coed t g sarting al ie a
Howeaze o atjh h thi 11g8 tone i d ano if thearatr ybepe i heg brea enst-o 1te
isehih t a heygtcly ehternep teu erap risem~
ealyear sueu o at tothompoy an rnaac rthem
Sklst ye aqien t jo recot ma~ke b en Yhaeh
Vernlnf e ter paea fia be~~ahd Sx ero a
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
ac r
Vdw-co aqiyUoipri
Th I U~ I ~ Ftyt-W
ot ywt uCr 3 in nuucte iI CQfBc
ise t m e y epdqnies re1
waa the curv 6I het~od hob
os 4~ n bhetweenp be re1nga e en h
eae t 1a a s re_ whcda
Uciet3rG)aftio The oinE1ofKentry totheytm evfQ e t
rs e Ir~n ru (x- tu
9 wi thin h e
we tostmte ea a for
our thre ase studies W~ewishi to- describe te rewar d 3truc ture- of h9
ssein termis of the shaeo th ccoepofI e Ind lien 3eQ f6 si
allows us to say somnething about- he appropria P fs t he ru a e n
the -lght of the staffing- situaia ono e system
In the followi~ng sectin pattro in functins
II THE USE OF ADMINISTRATIVE DATA FOR FOLICYAMAfLYS IS
f aant teppose mto oloqy_ s ha eur Onyoah aes oo ~ a e asoT d
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
ne~~~~ ~al4co0_o in( ingir
-
bot4Trat ooX
c~beQ~tpU~p (Iication f ean~a
~F tu i~~e~
poronef~nor~~q~or~hthe han1 qwasuy- ve t h in fas -u -1d h 6 N
hc Lco(ani qtprob e atems ls secandjre a ryastpr
gae ra tsion~4 theI-d thtam oflisy sucse countre
orrtapromotu~eflinof e e ocentif1 inco tut per ora -wr
wolhoeu sur_-veycomem eue ofethisin hi per son~ brI
dn ienf r-ec n -onbthe reserLhaniorr saler ichoe1L~o in family
am raphic mobiliyt (a prb x e nsystemst refs(t onshard to atrat
qustonare(seAiPhe ) le n i t sn Unadti of-nomto acrs cutvsadis -cvrgOfal shyn fo on6f apri on -
Voess~ nature imiortant ian sicy gcn t 1n ofase rc
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
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4-
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Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
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Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
t n t
t a callw moreti
ctran abe by te r
4f~dinatrtie rch t eeals 6s
1 petedt lpresea~acc ani-thusservesC
Vysa~1 nuxo~rsu eatneeear a ia6
di udgTTPK a at 1 anatia~ogca oL Pmicrcnue a st
systems-and therefore th stdy)is one1 th~at coud easi~ly be carie d out-
in4 f i e uig eiwof anational agricuiltural research sysem-
ADo inca Republic4gtA44
6K The Division of Agicultural Research (DIA) in the Mnidry of
~WKAgriculture agreed t~oundet_ke a specialsuavey of its efnployeeP using a
qtiueofia proposed by ISNAR This survey provided inhformat ion onthe
~44a~4Be~4 experen o-Acial position andscificeucpon~wrk
outptth o tatached to DIAiniviualscinti meot ec
anaeiosbisynotHoevr 44 t 44 he e
~resuilts The information supplied bj$ th DIA caefom all five Stat4 one
udcer~their jurisadiction~444~4 4 A~ 4 44~~ ~ 44444 x
esimte Linctin reeachr th oWe 4 the~ eanig fo -in4 D h
insteituioal iha enisptici forhe reut Eadches ie tiaOn -A1L lni~npu~Vc ~n~~ir~V~f~e~enco~i m on of ~pe 01
444~ 4i 4(44
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
12
presented in Table 1 below and the corresponding eacnirts profile are
presented in Figure 3
Tab I1 Ealrni ngs Functions for Dominican epuLbl iC
Variable Equation 1 Equation 2 Equationi 3 Equation 4 (n = 72) (n ( =-7272 (n = 72)
CONSTANT 602 609 56 59 (83 )(10861 (1692)h (5989)k
EXPER 003146 0026 0015 0047 (2379)k (197)k (1147) (267)
EXPERSQ -00(j047 -000026 -000035 -000099 (000067) (0397) (055) (109)
LICENCIADO -0038 -01218 -0207 +0553 (0505) (210) (126) (0551)
INGENIERO 0093 bull bull -0085 +0198 (157) (0518) (254)
MS 0261 0186 0088 036 (338) (309)k (0509) (3548)
SHORTCOURSE bull bull 018 -0067 (109) (0284)
NON1NIV bull bull -008 -014
(143) (0917)
DIRECTOR 0498 0534 0505 (743) (705) (698)
EUCARCADlt bullbull 0036 0055 (0815) (128)
F F ALF -0151 -014 -010 -0188 (315) (289) (226)k (291)
AGE +0018
(321)
067 067 072 040
Note The figures in parentheses a-- t statistc all t statistics significant at the 975 level are marked with an asterisk
R 1 a corrtctod R which -l lows us to corrpar eotimatng equations with diffe rent nurit-rz of independent var nab2I+
Descriptive Stit st I-+on ke vriables re found in Anne- 2
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
io
CD
t
A_ 2
70
61
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
10os tasshoY
Of reeac ereu ngasexolan dyvao r ia I EXPET a R t r~~ora wi ot eeaoadf~ij eo ~asF~AW
uueniaan~e~guay~ aoi4~a Lun~ t~ S~9fqu~ fl ~ ~Lt ~ I var~fnbl J ad e oro arbeOamp e typeoa trodlsc a ~ yh~chonrolforoto-~~ -hraris~i fpoiknh_a astp
-a7 d444O~lao~n6
Teneallngs esutin wbea ru ~samet~o in the sesf4 E6ithas themttn--shy
expected shp n epan hig prp in of thokvariance in saa~raies
~Jdamong individoals in terms of the idpnetvariables~used in the
euaions Based on the resul~ts of oretmating equations we can mae
- several observations about the pewa structure4
1T e po itiv and significan tcoef ficient on the expe ren e varia bles
inEutos1 2 and 4 show sarising between3an e
) year- ofOexperience~ InEuton43 the inclusooof a sopara e ae
is~big~ycor~aed wit exper ence expla na t
ucdred4 snificane of the experieaice variableshy
2 Thngtiemefiins onFPE have the expected sin ne ms
of the human capital modl4 butther low r~ognitudo and stat a al
Lnpinficance lead ustobeli veoat he alarya ii o hf s no a vvd t h peakedsucreoam ensn
Yeevo ed t a atur e
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
15
3 The ingeniero agronomo degree is the mninimum training required to
become an agmrcultuval researcher While the lncatura in science
or socia scincee represt C th ia e p rrid uI t i s as the
lflueniero i~Je~t to associ wlkt WthAppedu be in wf1ri lower
4 The masters degree has a strongly positive imact on salay (between
18 and 367) and its effect is statstically significant as shown in
Equations 1 2 and 4
5 he variable SHUGTOURSE measured participation in some form of
non-degree (usually short-term) t raini g after completing formal
train rig It doe not hav a - nficant effect on income and may
underline the fat that howeve ICful they may be short courses do
[lot 3ee tO IlTilPOVe2 Oe CC I
6 The DI[ECT riabl is straIj 1 positive and highly significant
wherever it ham been inclun r the estimate n Equations 12 and
3 however where the r- ind MS variabl- both ipea r the
estimated vetuin to th S 3qr falls This n-cates that there
ia corre l1t1n bt- een iced legre and t e i1oldin of
acidm In strItlve o l n bhold be lit ilt-ited tLl~tiher On
the othr halnd h mr iby It AX ADO Alan - i to classify
ipeople 4h0 - - h i ectioniareWSf n s or
prog le i I iecited with hijher incomes BothNein n
the magtnitiid of the W05-t 1 1lt ml its itit[stical i gnficanc are
Jma l1
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
agea~ rch ei o a n sss a n r I
C0tl e 0n epas _a o b 0 a 3 o ~ficet 6t
Wmaefet1 if~zta ~j
Ai I A rn to tA a e te a i 3o~ so sa rs
th ex e ugtA
es An1 e r4ajn a j 77
u~cijn ~he a1si fwo~The d~ imbabn cPje UZo neere
PacInertQy urve ae a C)e uses opreLg by andA the caag the
The daeausedjo o as eusincame fro a I~ithe Zimabwe I
Inventory sv S AR (see lni on J by hyPregaree by he po
Dr ttfResearcher Aa Sp~~~ func 8n to 5bhveand earis S efl
~ aoui f ar T funane~ tdeoeff c XEa nrOf
unvrst AdUmB anb a ica1-7 EXPRSQ degree the Poi an
resarher ad ex Agai thiedearnings and ehaedng
p~oshigh e5 nts on4~iur
Principai ileva are ofpce h iue a n 6 a Istic
sgiiatA They sumorzeare bellt inTbeA~tea i
~ 0
Prfie ar honil g r 1
A ~
44AA lt4I AIAA 4 A
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
17
Table 2 Earnings Functions for Zimbabwe
Variable Equation I Equation 2 Equation 3 Equatio 4 (n = 174) (n 1174) (n = 174) (n 174)
CONSTNT 856 85G 856 737 (1966) (1465) (1485) (628)k
EXPER 0056 0056 0054 0056 (927) (920) B891) (1066)
EYPERSQ -00011 -00012 -00011 -0001i (62)) (622)k (557) (680)k
BS 0279 0283 0278 (70)8) (706) (702)1
MS 0426 0423 0413 (888) i890)k (869)
PhD 060 0635 0664 (729) (739) (761)
YRSCHOOL 00847 (1363)
DIRECTOR 0428 (246)
PROCRO -0199 (124)
LOCATION 0016 (0484)
FEMALE 00048 0028
(010) (069)
058 058 060 067
Sec notes to Table 1
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
Figure
4
-
_ isJ(
J -IJI 1 1 - IrC )(ri( Iri iamp
ii -H
-
84 -
853
82-
8
74
74
Ashy
-
0 2
Elyc I
6 8
t
0 12 14 It f8
Expe n-c iin E2
20 22
YeCL Eq 3
2-1 26 28 30 32
- 1
31
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
19
We note the following results
1 The large coefficient on XPER is indicative of an income profile
whilh is steeply sloped and proviles rapid increasns in salaries in
the early vears
2 The neqatiVe coOMft ent on EXP PltSQ is also highly significant and
rndicateb a norma l patterin of ear ins functlon with diminishing
increages as experience if accumulate
3 Comparing the coefficienuts ar the BS MS an PhD variables ae find
that the sttirattrg equations reflect what one wotd he eve to be
the case i PhD eiin reot than a masters who in turn earinc more
than a bachelors Allioefftcincuts are nigh ly significant
4 In Equation 4 where we used eatrs of Skhooling rather than degree
diunmies the return to a year of schooling is high and statistically
significant it is algo worth noting that the a rnings profile has
the same shape Is the ones estimated using dursmny variables for the
nducaton varitable
5 The DIRECTOR variable shows up as highly posit ye and significant
wi thout taking away explanatory power from the education variables
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
Q~ 03
ofacl t on -ene vai
onatioa a gais I wpomen d JI
7 p iia n a tS~ j~ -hi LCTO wss ede cedo not sWea~4er~fon
the ~yiteoai~ntainat t 9epi sopc to~zthsy t
capitald~aFl reare_
radri seAin sa a 4hsintheea r er of one - anduraree
sucesiel higher~azuaiasoywn acrent
Ariutua e arcwthnt h Deatmn~ r ica) pra D i Thiad~ muc longer wihu uptidn taehistoa~ry yjL mig-
lnac toshcb saigt a teye- omthi
~runas t hi humnresorce attern aproac as ledo ba 1 ak-p red
betrke SSand pho centias fha itwants
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
2Vo~ e~q p
t a A1 198 6i C upi a
una erng aatu oc dItion fse rrsac
cond im~ ncl vi seviea ra p it orm - - ee I fa~~ an9 w 1ed n~ u i0 O or that
(Man 6ue~ aabjna ta oruta cpIcda rfd
raeoK1e y PIy ~~~~~~m
weClecere eprdonay ofama re y ~
puroethhan t ra fo b ftee
of he agesrcueuon nydta ffroedeI a4 n istatiethew~a~c og
(Mny sysem iR Latin and cou-rzeeod UCminann Amric
thteAc rgncameproaccessil~9 forpo icy ana s a oii
Thnmeag feerhe~ nheaDeatA gttoA i~tr alosu oetmt annsfntosa oedsgrg dIeeI
tha is-posil nEuto peeinsalrsses 1fal3w
the ~ f-ebsc ua aia nwihtelreut oe
saayi e~mtd safn-too EPREXES lCwn
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
22
Table 3 Earnings Functions for Total Thai Sample
Variable Equation 1 Equation I Equaticn 3 (n 82) (n z 882) (n =882)
CONSTAIT 8017 803 800 (43601)h (41356) (39006)
E 0077 0077 0077 (2472) (2470) (2484)
EYPERSQ -00013 -00013 00013 (1105) (1093) (1119)
MS 0054 00c2 0045 (44) (423) (363)
PhD 0222 0227 0221 (568) (582) (571)
SEX -0023 -0016 (213) (149)
BAGKOK - 0048
(4I0)
R- 0762 0763 0767
See notes to Table 1
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
Figure 5 7I_f ILA NIV) - kcp r~ oc - Incirmwic -f k
85 -
84-shy
81 -1 ----shy
8 --- - - -- ------------ - ---shy - -- - -- - - - - ----- - -F - -
1 2 4 8 0 1 14 6 18 20 2 24 2-1 28 W 12 14
L+ El J E 2 Ecq 3
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
24
We observe
1 The earnings functions are all well-behaved and exhibit a relativele
steep slope in the early years and a peak coming between 25 and 26
years of --p Len
2 The earning of a aners iegcee app t be ascociated with a
salary betgtern 5 nd 6 hignr- than the averaqe for all researchers
while the PhD is associated With a 22 qain a deron strated by the
positie and significant coefficients on the degree imus es in
Equat on I
3 When the SEX dunmy is added to the estimating equation (Equation 2)
we find that males appear to earn about 2 less than females
then OU d(ryAT Equation
sigiificance of the 12dbIJIV fh 1 S ead I ng us to he Ii eve that the
reason for ipp-iit lowr ies I es the
I Hoeer the it i included as in 3 the
the s rcOr a is
concenitrati on of wuwn in Balzlkh wh-re sa a ri are between 4 and
51 he (Jr thai1 the aerg
In Equations 1-3 we estimated the earnings function across the total
sample of Thai rc-archer using huruny va Vrtab 1es for e degree level
ind location Th-i i ina th wac thie o I f tot e
rIMOabL n th- - I Lt i1 t ii+ i vtv t-- iag il IifA
[ tpwa Orr [ ilo -I 15s oi-cl ior-i it Jt-
lage wq a r iYi to -25t irnat -rt-nir s ftunc t ion at a maunh finer level
)t l altatin and till obtain statimtically significan results In
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
EjKu~Jlaquon A-- r t ba a orweed srsar
dhe~r mates an ts I( -lav 1gBs y) es a rieee
afto to dehre ever~sexp1d
~lt z~etiltsaen irsn olt~estb p~~gartedkin able ca hecr ~ saggeg~1~ gue6r gt N
Y Taale of the arnngsproie
4 1 4~ ~ gtj ~ W
L ~ ln Equation 4- we haaroe th-t-- a sapeAn o hews
sampesfyleelhihes egee~erng Thlg~o on~ y
eima te a afucto of BSPR EXE S SEX -nd LOAIO
reut are presntedin Tale64 foll e b39the corson g fann18
Equatio 4 E q u 8i5 Eg iaion
1 332 6 )(84 5 1
EXPES9~5 VP _000098~ ~ -000034gt
MPRS - 018
SEX 002 009 0J126 (160) I (028)4 0079)4
LOCATIONN IVIV 00564 -0 159
4 V (4 ~J04 1 1) 4 0 )
074 1 9
Seen0717abl1
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
Figure 6 ffY 11L l) kxpc~fvc~c -If~cr)mnc Irrof4cs
bull--- shy - shy -t-- -
858
81
4
JJ
2 4ll 6
E q
L][
4
4L5q 4
0x -
in
32 4
U i 4-- Ar x pound
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
~~~u~ ino~o~~~ i ~ ~ S and 0-ps On gt e6pectocai ea ~a dvanc ge
would4 th~soppof te-anig Eunction anidpesepe
rapid adyancmn thro th~ sytm ~Tidoesno tappea r to eh
2There is no significan difeence -in saariis 6 1en and women as
ampMostrted ythe 16 maudeand statstica1-I _e0
t he sex dwny~~l
3 Fo sc-4eztists with only a BS degree there~aears tle
Kstatistically sgnificant saardat eof the mn dle f 5-6-
I
no apart be siniicnta the Sand Ph levels - perha ps
beas-sinisswt-tee ere 1amporkig out f 0thcapitalh
4 beqn posted tip-cointry to positions of atoiy
r4 Although we proeent~the e i for le hhe~hrruemner o f
sinfiac to the coefficients~
~ V iag~gto b craig eaaeSmlsfo- me F_l -V()e
and MS levels 1heresult C sta ma t 51s n h 3~~~~~~~ a rNPRQ- hd OAINVrp
al-i a fucion o EPE ~ e
Tabe he irannspoi1s FiO5wih coresodi 1plusmn
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
28
Table 5 Earnings Functions for Thai Researchers by Sex_ and Degree
Variable EqUation 7 Equation 8 Equation 3 Equation 10 LISM4OS WomBn Ms Mln MS Women (n 369) ii -255) (n -- 115) (a shy 124)
CONSTAIT 7987 788 8 2 22 (25609) (25252) (12483) (13511)0
YE 0073 0104 0074 0037 ( l6)b (171l)- (83)k (357)
Y[ 1 -000115 -00024 -00013 +000009 (651) (R95)k W448) (021)
LOCAT ION 0068 (0335 --000 010t 317)k (189) (-025) (287)
0692 0837 0696 0753
See notes to Table 1
We observe
1 At the lvel of the BS the earnings of men seem to peak later in
their caree r than those of women inrcating perhaps slightly better
promotion prnOerA t or mn In y ears past
2 At th- level of the BS men seem to benefit more than women from a
Bangkok oti ng ii hown by the hirjher and more significant
coeffii ant on theLCATI ON dIummy in the male equation than in the
femae equation
3 We ohserve aqain the m la rity be tuIen tLe enrnings prifiles of ma e
cIentit with the BS md male scientists with the MS Ths s
cons i t~eat with thel Impreson that there i 7uteimat ic promotion
through the stem
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
Figure 7 77 ITILI J) Ex c4 cc - lIcn irofi
9 4 L4 shy95 shy
9-2 - s
91 shy
89-
2- -- 2
a S -
14 -r
S )( L
A
Lt Eq 7 8A 9E 1
79 shy
0 2 -4 t 8 10 12 11 t 18 20 22 2-4 26 213 30 2 34
E Et 7 t Akj 8 x Ey 9 rj 10
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
9 ~ aI~e e
4W fH noL a foyoen hev~I h64r g- rfil
P7fpe n eal Lareer_ the ea a og
n ~we would4invetqt
iomen MiS z3c3entis ts i vevkth re are no t at shy
fo w reiable ~r is n9portIon
fucton Seod-here m~ayj be imotn persoaal characcrsIE
of theilr attahett h o ri thei raccess to hiher edcatin
gtand rpromotion
~~V
Theprein oe o an S ofanlyis otpretend be exdaustieanays
the4 conditions of service in the Thai Departinen trof Agriculture- Iti
~simply~attempts to demostrate that one can use read yva va1ab 1
~administraive data to~identify impctant~aspects thei conii6in
sevc which merit in-dept examninato
thFro hg ecentace of Eh a arie xpained4 h
sy bemticll rel~ate t iwenqt e h andthe ecc~l) ir4 e this~ ~ ~Aste -gs-~alse~ysemicueiorsu te
a xtrsand Ceward structurenima eaesalizd o-tfr1 0 ha~pr re~d
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
44
OtQ Sd kdkO e no L~g~J a sr o d
th qvernE and possib a pl~y o trainedpopeisecomes aa bl
~outsd- govrmn0sw ma c o deI the desira01 li
payin premiul salaries to MS and PhD sntistIs rre r i ed d ecEl y and
r m its own- expenditure on t~k~
ISAFDEVELOPMENT AND THE EANNSFUNCTZV_
An assf~ th~e returns to the individual of earning-an advaniced-
degee s ueful way of predicting -wethOr not the sytr-w be-
~abet etini for research$ the scientist a whohaebntrne
governmnt4 odnrs th ytm i yf ioIno the tuIdet earnings
give here high earnvgJo PhDevdene tat are returns to a n
degrees ~gt~ 4 J
In44 i of the systems the earning of an advacd er8~S a3SOc1msI
with inrae bu bohth ih degreeand higq~ r) a ar re
Of ter accomnanied by apointmnt to someadmnistratve fucton 1 1
i~~~rina1~~~ most-qualimteepo t i
____r
ta1~f
Losirtions and perhaps all we cansa It hat a m ovrefEor i b4e
required i ann ocet h ltica
nis imesearch m e hs s~ active infu 1- -Wenhat_
s 7s iIIhv~e evard ue~~vwi e am o look at stu encoag 0eo
reao n-neearc menterp i acemen E of a badi iita vs
Of J5hem TCOharninpa nci can
1 haa lys
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
32
eve ca th 1113ta
-vanaeoust hav o Le I Elped exn su1t ta a c~reeoe i~1 yg - io act$eco eep~a e arigsfn
availbei th coun th m fatea
uImL1 the syst i radsto he anfdp~ AsISNA tilla~ e the LDeopIenpe retan e~o
ill b1eable t elt he sap o 0tothe t ate oshy~theearnings functon
development of~hunan resoein thedcutry and have a way of making
-~cross-coun~try coprsn ndscuin~iig reiard Bructures
V CONCLUDING OBSERVATIONS
-The uposeof thivs paper w(as to tes a me thodo logy for analyzing readi
available administrative data (U dta collecte v ~arelatively 1pamp
qusionir)togneae-nigt into te character and appropriatenessof a1 systems rewar~d structure~ u~p dlih
eaiig ca itaXlfn baedhe n fuctonofers a we can appraring means -by swhic
~the question of conditions of service in a national Ssse It 0GBoeS6t
preclude the need~to study he institutional processz-dir ~y bL al BU~~t~ X~U yoth s ao A ii~ cond plusmn0 B 0uhoaWay I
seviepeat ro hecases presented-he it in v1 ent t batrqdfe q~al amn countis -B~y Wni er i Iknq c I~s
across a ra o~efcountveISA wi p ernh
Foy be apli cle to particulVar reg mns of h wo6i Q aleativeI
c~ysem a dfferent esatgs in eve lo mn a eZ-n s3
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
33
of the return to advanced training and tto way in which this return is
gained we will be able to relate the rewad str-cture to human resource
duvelent plans
The UrFcnt documnent is a wocvir pd per foc citical coar-rt and
suqgrtions for impr muynLat Tho 3imale atlnu funutlsm11 est iated
here can etti11 he i111evad throurh th dW It of ttr oxilartatoriy
var iabls or thIlroiqh ai r - oa t tLi patir - i w[ wihuch
rtepartiva thq~A tit n to01 IA oll l lr niut~
ieterMinat 1t of Ir o Lel ite hun- tht ong in its present
torm wI have Iiront-atod n ti mltho prmit a 0111 ta y powerful
ana lysis of reward ttu-tt wth a MeIat 0ey sMaR1 nestnent in data
nol[qction and imilyA n appropciat- form oftw Le most gqneral
the e i irnhart been elop
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
I LiII r tic~ nterretaton
mret eperince tesuare of years ofs erecedq nubei 0ol$
earninga reatad personal or job cha a cterisuch- occupation se
Theh~n capital approac consiers t an indi viualsa dic~it y
anearings are enancedbyinvesmenineducai ion ad h r
coeftiieai relating the natua1 an yersno
rscoaiof retur Linex~e -one-zca-
~ a~~ne~~ tif e dabyd sona
tbrin both theasimpe formn below and ina math a tca Vappend i extnsonso th odl
Let us define th raeo eunctefrs ero
_wneOY isth icome a pesonwoltdearni a terompetnq e
Ad at zonn she assumel oer-noe eiio aelnwo
onJ
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
35
This may also be expressed as
Y1 = (I + rj)X0
where inccme in Year I is the initial income increased by the rate of
return cn his investment of foLegone ePocn-ngs of while undergoing
tra ining
In r fashion the rate of return on the second education may be
expressed as
r = YZ - Y
7
3uch that
Yz = Y (i + r) = Xo (1 + ri) (1 + r-)
After S years of schooling earnings will be
Ys = X0 (1 + ri) (I r )(1 + r)
On the assumption that vr r r and that (1 + r) can be
pproximated as e
Y XYenn or
in Yr in X0 + c-S
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
e~~~~~~~ ~~~n oo A
cain)alary (XhL e of retur on)
Therefo Ve most~ orMUIionj cf e h m3 I Capital model include a
nolnQIeari4 y in the relation Ext~enslpj2i-fLhe model add a numn er
of pesoa or job characteristics which are believed rofaean effeq
S on earnings
4 - q
--~gtF ~ S
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
37
ANNEX 2
DescLiptive Statistics of Key Variables
1 Dominican Republic Survey of DIA Scienitistsa 1983
Unit Mean SD Min Max
Loq Sa lq 627 280 579 691 YearsE iuce 644 503 1 21 Ver Experience 6683 9813 1 441 Aq 3287 484 23 44
2 Zimbabwe Survey of DRSS Scientists 1984
Unit Mean SD Min Max
Log Salary 907 0333 89 993 Years ExperienceYears Expererce
868 1634
937 31533
i i
41 1681
Arle 3493 1004 21 63 Yeirs Education 1618 239 11 22
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
3 Thai1and Administ rative Data
38
from DOA 1983
_otal Thai Sample
Lfo Years Yeas Aqo
1 -Iry Exp rience igtxper~encamp
Mean
870 11418
16752 362
SD
032 597
15776 610
Min
776 1 1
23
Max
956 37
13659 59
Thai Women
Log Salary Years3 Experience Year Exerlelce Age
Mea
86876 107601
1-15 186 353881
SD
0303 512274
125309 563396
Mill
776 1 1
23
Max
939 24
576 50
Thai Men
Log Salary Years Eperience Year2- Experience Age
Mean
871 12002
183718
368591
SD
5338 )30084
175624
6 36094
Mm
792 1 1
24
Max
956 37
1369
59
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
o-se
Pt
-
(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
MMM RESOURCE NVENTOR~i MAALYSIS
Cien Names4
a r i a1 Status Aiore
Single 4
~ MarriecdWidowed
S p a r at e d V
Nuie of dependn
io (bgi with highest degre o
I University ~A~
Name of tA~~Locatiorn Ye 3rs-At t n de d University ACityCuntry From To
ede
DegreeO Otie
Spec1iliation
A 3 AAp
4 ~
2 Shot d
4-
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(les tha
A
9 months)-
AA
44
2~~~~lo1 n iih1 ~ ~ ~Sh11016rem 01
0
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4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
5 Ifthere is a formal scheme of serviie ilYy n st itu e Pleas indicterad Step
6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
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GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
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-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
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14
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3 Distri OreioIncom on
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0
Dreoe pio r
4 Type of Wark Prf rm d b unicoate the pe~cntage ofyour time devote to
TOTA I 01 0
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6 lRemuneration StructureiA 4I
a~ Current base salay14
c4~~bVlu ofllowaniug provided __or _________
1seiliainT~ ~ 1 d preiums for funcItin~ i4~4
~7 1P0 tion at entry Title ~ 11
Grade StepBase saari~y al entry
w~
outside of our curren ns UOrmiistry-o 0(13 o1 ee 8 Othe ork xper ernce~ Please li a period of proressional ernblo~i
o
Namie of~ rocatio Dates -bf P Sa Em yr To~ A11 cnrm 4--
I I~I k
N -A
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
GA pe 16i thagtof -ouini - era ig th ry ut ii t
raoDi-i
CoA ca
atta~ch adtoa pae-feesay
atos Pleas YQ pdca
ofpilication (bookjunlatcevsa hrp te6ber of pages adyear of publication (Atchx~ta pages i nc sr
ln- e m nat n- he r 31aI
bw 16 oun
kLY
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4
enJ- 1 iJo f
-Treatd Untvri Godya Pu antheMofDtrwda 1Laboi h a
Plan oor the Deatent frpm e5oear adC pali1985 Th aue The NeZ~t erandsI
Mazular Dpk Te-r~-L~ r~AM kersand
Mohnr-e Raksh eermiatbof Laourics Metropoli Est~~imtsfo BooaadClC
14
41-7
MI
stolombia o d Barmc Saw
3 Distri OreioIncom on
n ien Develoing om ia or an Saf
4