Economics Analysis Of Teacher Rewards System In Institution Of Higher Education

Many institutions of higher education are trying the post subsidy system reform to create new rewards system since 1999. But the new system do not deal with the contradiction of science and efficiency well. The paper reviews the evolution of teacher rewards system in Institution of Higher Education from 1949 to 2005, imports the theory of human capital, offers theoretic consult for the reform of teacher rewards system in Institution of Higher Education. The primary viewpoints in this paper are below:The essential of teacher rewards system in Institution of Higher Education is to deal with the contradiction of science and efficiency well. Teacher rewards system in Institution of Higher Education should pursue both efficiency and academic freedom.Distribution according to work researches the problem of rewards from the point of view of output, holds out efficiency firstly in theory, it cannot settle the contradiction of science and efficiency, so it cannot meet the demand of teacher rewards system in Institution of Higher Education.The rewards theory based on human capital is propitious to settle the contradiction of science and efficiency. The theory of human capital is the new way of teacher rewards system innovation in Institution of Higher Education because it can communicate science and efficiency.