Remuneration Management in an Innovation-Oriented Economic Policy
https://doi.org/10.26794/2304-022X-2026-16-2-199-213
Abstract
Purpose: This paper aims to contribute to the ongoing discourse on wage determination by proposing a topical approach that incorporates three key factors, working hours, education, and experience, and to provide a robust, strategic, evidence-based framework for formulating wage improvement policies. Methodology: Using a rigorous econometric approach, we analyze a dataset comprising 545 observations of full-time employed males from the National Longitudinal Survey of Youth, spanning 1980 to 1987. We then apply the results of their combined effects to derive detailed explanatory guidelines. Findings: The results reveal a statistically significant negative relationship between annual hours worked and wages, indicating diminishing returns to earnings as working hours increase. In contrast, education and experience exhibit strong positive correlations with wages, with each additional year of education associated with a 10.55% increase in earnings, and each additional year of experience linked to a 13.81% wage increase. Notably, the non-linear experience-wage relationship demonstrates diminishing returns at higher levels of experience. Originality and contribution: The study introduces a novel framework emphasizing that the marginal utility of working hours varies with educational attainment, and that the quality of experience is shaped both by the number of hours worked and the conditions under which those hours are performed. Additionally, the concept of the experience-education multiplier effect highlights how education amplifies the value of experience, particularly in knowledge-intensive sectors.
About the Authors
S. Liv
Central University of Finance and Economics
China
China
Soksan Liv – Ph. D. Candidate in World Economy, National Academy of Financial and Economic Strategy
Beijing
S. Try
University of International Business and Economics; Ministry of Planning
China
China
Socheat Try – Ph. D. Candidate in Public Policy, Graduate School of Government; Director of Department for Training and Development, General Secretariat for Population and Development
Beijing;
Phnom Penh
E. V. Ryabova
Lomonosov Moscow State University
Russian Federation
Russian Federation
Elena V. Ryabova – Cand. Sci. (Law), Assoc. Prof. at Department of State and Municipal Finance, Graduate School of State Audit
Moscow
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Review
For citations:
Liv S., Try S., Ryabova E.V. Remuneration Management in an Innovation-Oriented Economic Policy. Management Sciences. 2026;16(2):199-213. https://doi.org/10.26794/2304-022X-2026-16-2-199-213
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