Defined benefit (DB) pension plans incentivize "salary spiking," where sharp increases in pay are leveraged into significantly higher levels of retirement compensation. While egregious instances of salary spiking occasionally make headlines, there is little guidance on the definition of salary-spiking behavior or understanding of its…

Prior research substantially overstates the cost of retention under test-based promotion policies to both taxpayers and students who delay labor market entry because it omits two important factors. First, there is a delay between the intervention and the taxpayer's expenditure. Second, on average, the treatment leads to less than a full year of…

The COVID-19 pandemic brought unprecedented economic and policy challenges to the United States and other countries. Navigating out of the pandemic slowdown is another novel experience, which makes it more difficult to answer the question addressed each year in the "State of Working Pennsylvania": How is the Pennsylvania economy…

The United States and Pennsylvania economies are at a pivot point: Will we build forward better or will we build back the same? Will we make things even worse? This report revisits the policy choices that lie ahead. Most of this annual checkup on the Pennsylvania economy, the 26th "State of Working Pennsylvania," presents labor market…

This study uses the framework of the Adverse Selection model of Efficiency Wage to examine whether the pay stance (i.e., lead, lag or match the market) of South Carolina public school districts influences their students' math and science achievement outcomes. Four separate fixed effects regressions were estimated based on three years of panel data…

In this paper we report on research examining the revealed preferences of teachers in Denver Public Schools who were given the opportunity to select between remaining on a traditional salary schedule or opting in to one of the nation's highest profile pay reform systems, Denver's Professional Compensation System for Teachers. The incentive…