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Earning Motivation and The Conventional Earning Function

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  • Muhamad Purnagunawan

    (Department of Economics, Padjadjaran University)

Abstract

People have different motivation for having a paid job, and this might came from different expectation, value and also gender roles. Nevertheless, most analysis of earning determinant has neglected this possibility. Using data from Household, Income and Labour Dynamics (HILDA) in Australia in 2001 and 2004, this paper investigates the structure of human capital earning equation and its stability after controlling for earning motivation. The results suggest that some measure of earning motivation have effects. However, even after controlling for earning motivation, the returns to schooling and experience do not change significantly. This suggests that the conventional earning function is stable and robust with respect to the influences of earning motivation.

Suggested Citation

  • Muhamad Purnagunawan, 2008. "Earning Motivation and The Conventional Earning Function," Working Papers in Economics and Development Studies (WoPEDS) 200805, Department of Economics, Padjadjaran University, revised Sep 2008.
    • Handle: RePEc:unp:wpaper:200805
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    File URL: http://ceds.feb.unpad.ac.id/wopeds/200805.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    return to education; earning motivation; wage; HILDA;
    All these keywords.

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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