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Presentation For Teachers Compensation Panel

The document discusses how introducing school choice could help increase teacher pay in Texas. It notes that currently, 93% of K-12 teachers in Texas are employed by public school districts, creating a near-monopoly that holds wages down. An economist testified that introducing more competition through school choice would raise teacher salaries. The document estimates that salaries in cities could increase by as much as $12,000 annually, or 25% of the average $48,000 salary, allowing teachers to choose where they work without financial sacrifice. School choice is presented as providing a market that benefits teachers through efficient allocation of resources instead of state-controlled wages.

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34 views25 pages

Presentation For Teachers Compensation Panel

The document discusses how introducing school choice could help increase teacher pay in Texas. It notes that currently, 93% of K-12 teachers in Texas are employed by public school districts, creating a near-monopoly that holds wages down. An economist testified that introducing more competition through school choice would raise teacher salaries. The document estimates that salaries in cities could increase by as much as $12,000 annually, or 25% of the average $48,000 salary, allowing teachers to choose where they work without financial sacrifice. School choice is presented as providing a market that benefits teachers through efficient allocation of resources instead of state-controlled wages.

Uploaded by

TPPF
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Teachers Win with School

Choice
Vance Ginn, Ph.D.
Economist
Texas Public Policy
Foundation
vginn@texaspolicy.com
Policy Orientation 2015

Good Teachers Should Be Paid More


Texans say increasing teacher pay would
improve educational outcomes.
(2014 Texas Tribune / UT Austin Poll)

Common Solution:
Increase spending through state law.

67
%

Good Teachers Should Be Paid More


Texans say increasing teacher pay would
improve educational outcomes.
(2014 Texas Tribune / UT Austin Poll)

Common Solution:
Increase spending through state law.

67
%

History

History

Most Public Education Spending Doesnt


Reach the Classroom

Most Public Education Spending Doesnt


Reach the Classroom

Most Public Education Spending Doesnt


Reach the Classroom

Most Public Education Spending Doesnt


Reach the Classroom

Most Public Education Spending Doesnt


Reach the Classroom

State Controls on Teacher Salaries


Years of Experience
0

Minimum 10 Month Average Salary for


Salary
B.A. Holder
$
27,540
$
41,200

31,810

43,630

10

37,340

44,900

15

41,490

47,820

20 & Over

44,620

54,600

The Minimum Salary Schedule sets a minimum wage for teachers.


97% have a Bachelors degree, so they earn more than the minimum.
91% have more than 3 years experience, so they are above the
bottom steps.
According to the TEA, the average salary is $48,821.

State Controls on Teacher Salaries


Years of Experience
0

Minimum 10 Month Average Salary for


Salary
B.A. Holder
$
27,540
$
41,200

31,810

43,630

10

37,340

44,900

15

41,490

47,820

20 & Over

44,620

54,600

The Minimum Salary Schedule sets a minimum wage for teachers.


97% have a Bachelors degree, so they earn more than the minimum.
91% have more than 3 years experience, so they are above the
bottom steps.
According to the TEA, the average salary is $48,821.

State Controls on Teacher Salaries


Years of Experience
0

Minimum 10 Month Average Salary for


Salary
B.A. Holder
$
27,540
$
41,200

31,810

43,630

10

37,340

44,900

15

41,490

47,820

20 & Over

44,620

54,600

The Minimum Salary Schedule sets a minimum wage for teachers.


97% have a Bachelors degree, so they earn more than the minimum.
91% have more than 3 years experience, so they are above the
bottom steps.
According to the TEA, the average salary is $48,821.

State Controls on Teacher Salaries


Years of Experience
0

Minimum 10 Month Average Salary for


Salary
B.A. Holder
$
27,540
$
41,200

31,810

43,630

10

37,340

44,900

15

41,490

47,820

20 & Over

44,620

54,600

The Minimum Salary Schedule sets a minimum wage for teachers.


97% have a Bachelors degree, so they earn more than the minimum.
91% have more than 3 years experience, so they are above the
bottom steps.
According to the TEA, the average salary is $48,821.

State Schools Dominate Teacher


Employment
Texas school districts employ about
325,000 of the 350,000 teachers.

Public; 324,282

Thats 93 percent of K-12


teachers in Texas.

Priva
te
23,36

State Schools Dominate Teacher


Employment
Texas school districts employ about
325,000 of the 350,000 teachers.

Public; 324,282

Thats 93 percent of K-12


teachers in Texas.

Priva
te
23,36

Domination Holds Wages & Jobs Down


$/Q

Q*

g*

M
C

gc

AR
Q*

M
R

Qc

Monopoly: K12 Schools

Quantit
y

Pc
P*m

M
E
S=
AE
M
V
Q*m Q*c Quantit
y
Monopsony: Teacher
Employment

Domination Holds Wages & Jobs Down


$/Q

Q*

g*

M
C

gc

AR
Q*

M
R

Qc

Monopoly: K12 Schools

Quantit
y

Pc
P*m

M
E
S=
AE
M
V
Q*m Q*c Quantit
y
Monopsony: Teacher
Employment

Testimony at Trial
The ongoing school finance trial
addressed this exact topic.
The school districts hired Harvardtrained economist Dr. Jacob Vigdor
to provide his expert opinion.
In his report, Vigdor stated:
Introducing greater competition into
the market for teachers will raise
teacher salaries.

Testimony at Trial
The ongoing school finance trial
addressed this exact topic.
The school districts hired Harvardtrained economist Dr. Jacob Vigdor
to provide his expert opinion.
In his report, Vigdor stated:
Introducing greater competition into
the market for teachers will raise
teacher salaries.

Testimony at Trial
The ongoing school finance trial
addressed this exact topic.
The school districts hired Harvardtrained economist Dr. Jacob Vigdor
to provide his expert opinion.
Vigdor concluded: Introducing
greater competition into the market
for teachers will raise teacher
salaries.

Teachers Win with School Choice


Salaries in cities would increase by
as much as $12,000 annually, which
is 25% of the average $48K salary.

Teachers could choose what kind of


school to teach at without
sacrificing their financial health.

Teachers Win with School Choice


Salaries in cities would increase by
as much as $12,000 annually, which
is 25% of the average $48K salary.

Teachers could choose what kind of


school to teach at without
sacrificing their financial health.

Conclusion
School choice would provide a
market in which teachers benefit
through the efficient allocation of
resources, not state-controlled
wages.

Teachers Win with School


Choice
Vance Ginn, Ph.D.
Economist
Texas Public Policy
Foundation
vginn@texaspolicy.com
Policy Orientation 2015

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