| Summary: | 碩士 === 國立臺北大學 === 財政學系 === 105 === In recent years, Taiwan’s average years of education increase and Taiwan’s economy continues to grow every year except the year of global financial crisis in 2008. Meanwhile, the wage stagnation has been a problem for the group of university graduates. This situation brings about a question how the wages in Taiwan’s labor market are determined? Is it based on the human capital theory, screening theory, or the principle of positional model?
This paper collected 1978-201, total 38 years, of data from the Report of Manpower Utilization Survey published by DGBAS of the Executive Yuan. There are two sets of the empirical results. First, we use the years of education as the measurement of absolute level of education and add two proxies of relative education and the interaction between these two variables as model 1 to 5. Second, we transfer academic certificates into dummy variables and add the two proxies of relative education and the interaction between these two variables as model 6 to 8.
The empirical results show that the positive impacts from the relative education on wage has increase in the recent years. When the expansion on education increased the environment average years of education, the positive impact on wage decreased. It proves the idea of positional model that wage is significantly affected by the relative position of the workers education within the cohort of age and time.
Combined with two sets of empirical results we find out that the employers in Taiwan’s labor market pay the wages according to both the absolute and relative education. Taiwan’s educational expansion has reached to some level that the workers who has higher years of education, the lower the wage increase after 2008. This might be one of reasons causing Taiwan’s wage stagnation.
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