I also find the idea of "basic economics" laughable given how impossible economics is in the first place. I mean, yes, if you assume spherical cows...
Basic supply and demand. Fun jobs mean more people apply to the job. The employer can pick the cheapest employees. Employees can get an edge over their peers by lowering their salary expectations because they value the job more than the money.
I honestly don't even think that this is a bad trade off. There are lots of jobs where you get access to equipment that you could never afford even if you had a higher salary. Think of working at a company like SpaceX or doing research at a university.
It's called 'psychic income', and it is something that people will accept, to some extent, as a substitute for cash comp.
This is widely cited as the reason that teachers earn less than other professions, and why garbage collectors earn more. There are a lot of people who enjoy teaching, and not a lot who enjoy garbage collecting.
https://www.wipo.int/edocs/pubdocs/en/wipo_pub_econstat_wp_5...
Looks like the median pay for garbage collectors is $37,840[0] and for teachers it is $59,420[1]
[0]https://www.bls.gov/oes/current/oes537081.htm
[1]https://www.bls.gov/ooh/education-training-and-library/mobil...
For example, college professors receive psychic income, but they make much more than garbage collectors. They make less than stock brokers, which is another career option available to people who can get PhDs, in general.
That's not the impression you gave. You gave the impression that garbage collectors make more than teachers.
>This is widely cited as the reason that teachers earn less than other professions, and why garbage collectors earn more
Teachers < other professions < garbage collectors
I get now that you meant to say was
Teachers < similar professions to teachers
Garbage collectors > similar professions to garbage collectors
I've heard many arguments that teacher make less than X profession, so the former wasn't an unreasonable interpretation given the phrasing.
Knowing what you meant to say. I don't think garbage collector pay is good supporting evidence for psychic income. Garbage collector pays well because it is a physically unpleasant job. What's an example of a substitute job that is similarly physically unpleasant that pays less because people find it fulfilling?
It kinda is, isn't it? The fun, fulfilling job is one that everybody is happy to do. The boring, soul-devouring job is where you need to encourage people to do it by offering more money.