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Economic Analyses of a Korean University's Internal Labor Market and Related Policy Issues -The Case of the 'M' University- (대학 내부노동시장의 경제 분석과 정책 대응 - 'M' 대학의 사례 -)

  • Cho, Woo-Hyun
    • Journal of Labour Economics
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    • v.33 no.1
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    • pp.31-52
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    • 2010
  • Internal labor market in a firm is normally designed to solve the adverse-selection problem as well as the moral hazard problem in the world of information asymmetry. The internal labor market of a Korean university as a non-profit organization should have the same function as the firm. The purpose of this paper is to evaluate the economic performances of a university's internal labor market, using confidential data. And I suggest how to improve the performances of a Korean university's interal labor market. Specifically, I suggest incentive pay for university professors. I also suggest eight job classification and job-related pay system for staffs and secretaries to enhance the efficiency of the university's internal labor market.

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