A prestigious private high school requires all of its teachers to have a PhD in the subject they teach.This requirement is likely to:
A)decrease the supply of teachers to this school
B)increase wages for teachers at the private school, relative to those at public schools
C)increase the marginal product of teachers at the private school
D)do all of the above

Question

Quizplus · Accepted Answer

A) This requirement is likely to decrease the supply of teachers to the private school. Not all potential teachers may have a PhD, and some may not be willing or able to obtain one. Therefore, the pool of available candidates to hire from would likely decrease, reducing the supply of teachers to the school.

B) Increasing the education requirement for teachers will likely increase their wages, as the school is looking for highly qualified and skilled individuals. This will make their wages at the private school more attractive relative to wages at public schools, where such a high level of education is not always a requirement.

C) Requiring teachers to have a PhD in the subject they teach will likely increase their marginal product, as they would be highly knowledgeable and qualified to teach the subject. This could lead to higher student performance and better outcomes for the school.

Therefore, all three options are likely outcomes of the private school's decision to require its teachers to have a PhD.

A Prestigious Private High School Requires All of Its Teachers