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o Ph.D. Manpower: Employment Demand, and Supply 1972-85 U.S. Department of Labor Bureau of Labor Statistics 1975 Bulletin 1860 United. States. Bureau of Labor Statistics. Doctoral manpower. (Bulletin - U.S.„Bureau of Labor Statistics) "Prepared in the Bureau’s Division of Manpower and. Occupational Outlook by Elinor W. Abramson under the general direction of Michael F. Crowley." Supt. of Docs, no.: L 2.3:i860 1. College graduates— Employment— United States. 2. Labor supply— United States. 3- Doctor of philos ophy degree. I. Abramson, Elinor W. II. Crowley, Michael F. III. Title.’ IV. Series: United States. Bureau of Labor Statistics. Bulletin. HD6278.U5U54 1975 331.l ’l 75-619118 Ph.D Manpower: Employment Demand, and Supply 1972-85 U.S. Department of Labor John T. Dunlop, Secretary Bureau of Labor Statistics Julius Shiskin, Commissioner 1975 Bulletin 1860 For sale by the S u p e rin ten d e n t of D ocum ents, U.S. G overnm ent P rinting O ffice, W ashington, D.C. 20402 G P O B ookstores, or BLS R egional O ffices listed on inside back cover. Price 75 cents M ak e checks payable to S uperinten dent of D ocum ents S tock N um ber 0 2 9 -0 0 1 -0 1 7 7 1 -5 C atalog N u m b er L2.3:1860 Preface The Bureau of Labor Statistics has as one of its major tasks the development and dissemination of information on future manpower requirements and supply. This bulletin is part of a series relating to the Bureau’s projections of economic and manpower data to 1985. Other publications include: The Structure of the U.S. Economy in 1980 and 1985, BLS Bulletin 1831 (1975). Occupational Manpower and Training Needs, Revised 1974, BLS Bulletin 1824 (1975). “Detours: The Road Ahead for College Graduates,” Occupational Outlook Quarter ly, Summer 1974, Vol. 18, No. 2. The U.S. Economy in 1985: A Summary of BLS Projections, BLS Bulletin 1809 (1974). Reprint of 4 articles from the Monthly Labor Review of December 1973. “Education of Workers: Projections to 1990,” Monthly Labor Review, November 1973. This bulletin was prepared in the Bureau’s Division of Manpower and Occu pational Outlook by Elinor W. Abramson under the general direction of Michael F. Crowley. in Contents Highlights................................................................................................................................................................ 1 Introduction............................................................................................................................................................. 4 Chapter I. Current employment.......................................................................................................................... 5 Employers......................................................................................................................................................... 5 Primary work activity..................................................................................................................................... 7 Chapter II. Projected requirements andsupply.................................................................................................. 9 Requirements.................................................................................................................................................... 9 Factors affecting requirements.............................................................................................................. 10 Projected requirements.......................................................................................................................... 10 Job openings..........................................................................................................................................13 Alternative projections...................................................................................................................... ...13 Supply................................................................................................................................................................ 14 Supply-demand balance.................................................................................................................................. 15 Chapter III. Implications..................................................................................................................................... 16 Text tables: 1. Employment of Ph. D .’s, by field and employer, 1972 ............................................................................. 5 2. Percent distribution of Ph. D .’s, for each employer by field, 1972 ........................................................ 6 3. Employment of Ph. D .’s, by employer and primary work activity, 1972............................................... 6 4. Percent distribution of Ph. D .’s, for each work activity by employer,1972 ............................................ 7 5. Employment of Ph. D .’s, by field and primary work activity, 1972....................................................... 7 6. Projected requirements for Ph. D .’s, by employer, 1985 .......................................................................... 11 7. Projected requirements for Ph. D .’s, by field, 1985.................................................................................... 11 8. Projected requirements for Ph. D .’s, by field and employer, 1985........................................................... 12 9. Source ofdemand for Ph. D .’s, 1972-85 .................................................................................................... 13 10. Estimated supply of new Ph. D .’s, 1972-85 ................................................................................................ 14 11. Supply and demand, 1985 ............................................................................................................................ 14 Appendix: Data sources and statistical methods........................... .................................................................. . 18 Appendix tables: A-l. Current employment of Ph. D .’s, 1972................................................................................................. 18 A-2. Estimated age distribution of Ph. D .’s, 1972 ........................................................................ 20 A-3. Estimated employment of Ph. D .’s, by field, 1966-72............................................................ 20 A-4. Percent distribution of Ph. D .’semployed by educational institutions, 1966-72............................... 20 A-5. Estimated age distribution of Ph. D .’s, 1985.......................................................................... 20 A-6. Estimated supply of new Ph. D .’s, 1972-85............................................................................. 21 H IG H L IG H T S Ph.D. employment in 1972 A b o u t o ne-half w ere in engineering and natural science. An estimated 335,000 Ph.D.’s were employed in 1972. Arts and hum anities, A b o u t seven-tenths w o rked in educational institutions. O ther fields, 2.0% Educational institutions, 70.5% O ther, 2.9% Business and com m erce, 1 .6 % N o nprofit organizations, 3.8% Governm ent, 8. 2% Industry and business, 14.6% A b o u t o n e-h alf taught m ost o f the tim e. O ther, 3.2% Professional services, 5.6% A dm inistration, 8.0% D H IG H L IG H T S -C o n tin u e d Ph.D. employment grow th Percent increase in em ploym en t, 19 7 2 -8 5 Fro m 1 9 7 2 to 1 9 8 5 , dem and fo r Ph.D .'s w ill grow nearly tw ice as fast as fo r all w orkers, b ut m ore slow ly than fo r college graduates as a w hole. By 1 9 8 5 , e m p lo y m ent requirem ents fo r Ph.D .'s w ill increase to 4 7 5 ,0 0 0 , if trends continue in th e use of Ph.D .'s relative to o ther w orkers in the same occupation. 25 50 75 Field o f Ph.D . Life science J Mathem atics | Social science and psychology Business and com m erce, th e slow est growing field , w ill be up 18 percent; engineering, th e fastest growing, 8 0 percent. Psychology Arts and I--------------------hum anities I____________ Education [ Business and commerce A ll other fields ■ H IG H L IG H T S -C o n tin u e d Ph.D. openings and supply, 1972-85 Num ber (in thousands) 100 200 T o ta l openings over th e 1 9 7 2 -8 5 period fo r gro w th and fo r re placem ent w ill num ber about 1 8 7 ,0 0 0 . O n th e o th er hand, if trends in the aw arding o f Ph.D . degrees co n tin u e as in the past decade, th e supply o f new doc torates w ill num ber 5 8 0 ,0 0 0 . 300 400 Openings, 1972-85 Supply, 1972-85 Num ber (in thousands) 0 20 40 60 80 100 120 140 160 ■ : ■ Engineering Physical science : Openings Supply Chem istry Physics ■ ■ ■ Life science Mathem atics Social science and psychology Psychology Arts and humanities Education Business and commerce A ll other fields —I The o u tlo o k fo r P h.D .'s during the 1 97 0's and early 1980's p ro bably w ill n o t be as bright as in th e past. Increasing num bers m ay w o rk in jobs n o t fo rm e rly held by P h.D .'s. In some fields P h.D .'s w ill feel the effects m ore strongly than in o th er fields. Introduction Beginning in the late 1960’s, great concern devel oped about the future employment prospects for persons holding a doctoral degree. Federal cutbacks of funds for defense and space-related activities and research and development (R&D) combined with weakened financial positions of colleges and univer sities to produce a poor job market for doctorate holders. Individuals having doctoral degrees experi enced difficulty in obtaining jobs of their choice. Nevertheless, the number of students enrolled in graduate programs continued to increase to record levels. Publicity about manpower surpluses highlighted the troubled job market for Ph. D .’s during the late 1960’s and early 1970’s. Numerous stories were told of doctorate holders preparing income tax forms, pumping gasoline, or parking cars. Unem ployment data for selected groups of Ph. D .’s indi cated that although their unemployment rate was much lower than the average for all workers, it had increased significantly during the 1968-71 period.1 When the employment situation for doctorate holders is assessed, however, the consequences of underutilized Ph. D. manpower must be considered for individuals, employers, and society. Additional questions also arise. What is the long term supplydemand outlook for Ph. D. manpower? Should graduate education be changed from its traditional 1For example, the National Science Foundation reported a 0.9 percent unemployment rate for Ph. D. scientists in 1970, rising to 1.4 percent in 1971, compared with a 1970 unemploy ment rate of 4.9 percent for all workers, rising to 5.9 percent in 1971. See Unemployment Rates and Employment Characteris tics for Scientists and Engineers, 1971, NSF 72-30 (National Science Foundation, 1972). research orientation? What information should be given to young people who are considering graduate education as a road to their career goals? This report attempts to shed light on some of the major factors that should be considered in answer ing these questions for policymaking and vocational guidance by providing basic manpower data on Ph. D .’s. The data cover persons holding a doctoral degree in engineering, mathematics, natural science, social science, the arts and humanities, education, business and commerce, and other fields. These degrees may be conferred as Doctor of Philosophy (Ph. D.). Doctor of Science (Sc. D.), Doctor of Education (Ed. D.), Doctor of Business Administra tion (D.B.A.), Doctor of Arts, or other similar awards. First professional doctor’s degrees such as M .D., D.D.S., and J.D. are not included. Underlying the projections in this report are the assumptions that changes in relative wages, the de sire for education, and other factors will have little effect on the educational patterns and career choices of young persons, and that conditions will not arise whereby employers will significantly change the trend in the utilization patterns for Ph. D. manpower. If supply and demand are not in balance, however, such changes are likely to occur to some extent. Therefore, the requirements and supply projections in this report are not forecasts of actual conditions in 1985. However, by illustrating what could be ex pected if the past decade’s trends and patterns con tinue, valuable insight can be obtained for planning careers, education, and training. It also would be very useful to identify the extent to which adjust ments to supply and requirements will occur because of supply-demand imbalances. Chapter I. Current Employment About 335,000 persons having a doctoral degree were employed in 1972. Nearly half—about 162,000— had doctorates in engineering or natural science (table 1). Only a small proportion had earned their doctorates in business and commerce.2 2These estimates are consistent with those published by the National Academy of Sciences, although they differ somewhat because of coverage. The current study encompasses doctorate holders in all fields, including fields not included by the Acade my. See appendix to this report and Doctoral Scientists and Engineers in the United States, 1973 Profile (National Academy of Sciences, March 1974). Em ployers Of the doctorate holders employed in 1972, about 70 percent worked in educational institutions. An other 15 percent worked in private industry and business or were self-employed. Smaller proportions worked in government and in nonprofit organiza tions. This distribution is virtually the same as 10 years earlier. In all fields except engineering and chemistry, educational institutions were the major employer of Table 1. Employment of Ph. D.’s, by field and employer, 1972 Field Total Educational institutions Industry and business Government Nonprofit organizations Other1 Number (in thousands) All fields............................................................... 334.6 235.9 48.7 27.6 12.7 9.7 Engineering and natural science.................................. Engineering............................................................. Physical science..................................................... Chemistry.......................................................... Physics.............................................................. Life science............................................................ Mathematics........................................................... Social science and psychology.................................... Psychology.............................................................. Arts and humanities...................................................... Education..................................................................... Business and commerce.............................................. Other fields.................................................................. 161.7 31.0 63.8 35.9 22.6 54.5 12.4 63.8 22.7 38.8 58.3 5.4 6.7 91.1 12.7 30.6 14.6 12.5 38.1 9.7 47.2 13.2 36.8 51.6 4.5 4.8 44.6 14.0 24.3 17.6 5.6 4.6 1.7 2.6 1.3 .4 .6 .4 .1 15.4 2.0 4.9 1.9 2.5 7.9 .5 8.1 4.9 .4 3.3 .1 .2 4.8 1.0 1.7 .7 1.0 1.7 .3 3.8 2.3 .7 1.9 .1 1.4 5.9 1.3 2.3 1.0 1.0 2.1 .2 2.1 1.0 .5 .9 .2 (2 ) Percent distribution All fields.............................................................. 100.0 70.5 14.6 8.2 3.8 2.9 Engineering and natural science................................. Engineering............................................................ Physical science.................................................... Chemistry......................................................... Physics............................................................. Life science........................................................... Mathematics.......................................................... Social science and psychology............................ ....... Psychology............................................................. Arts and humanities................................................. Education.................................................................... Business and commerce................... .......................... Other fields.................................... . ............... 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 56.3 41.0 48.0 40.8 55.3 69.9 77.8 73.9 58.4 94.8 88.5 84.0 72.3 27.6 45.0 38.0 49.1 24.6 8.5 13.9 4.1 5.7 1.0 1.0 8.3 1.8 9.5 6.6 7.7 5.3 11.0 14.5 4.0 12.7 21.7 1.1 5.7 2.7 3.6 3.0 3.2 2.9 1.9 4.6 3.2 2.5 6.0 10.0 1.8 3.2 2.0 21.7 3.6 4.2 3.4 2.9 4.5 3.9 1.8 3.3 4.2 1.3 1.6 3.0 .6 11n the prime source data, the National Academy of Sciences shows an “ other” category, which may be used by respondents to the NAS doctoral report. However, it is not clear what this category includes. 2 Fewer than 50 persons. Field Total Educational institutions Industry and business Government Nonprofit organizations Other1 All fields................................................................... 100.0 100.0 100.0 100.0 100.0 100.0 Engineering and natural science...................................... Engineering................................................................. Physical science......................................................... Chemistry.............................................................. Physics.................................................................. Life science................................................................ Mathematics............................................................... Social science and psychology......................................... Psychology.................................................................. Arts and humanities.......................................................... Education....... >................................................................ Business and commerce................................................... Other fields....................................................................... 48.3 9.3 19.1 10.7 6.8 16.3 3.7 19.1 6.8 11.6 17.4 1.6 2.0 38.6 5.4 13.0 6.2 5.3 16.1 4.1 20.0 5.6 15.6 21.9 1.9 2.0 91.5 28.7 49.8 36.2 11.4 9.5 3.5 5.4 2.6 .8 1.2 .9 .2 55.6 7.4 17.8 6.9 9.0 28.6 1.8 29.4 17.8 1.5 12.0 .5 .9 38.0 7.7 14.2 5.3 8.1 13.6 2.4 29.9 17.7 5.4 14.6 .8 11.3 61.0 13.6 22.9 10.9 10.6 22.1 2.3 22.0 9.9 5.3 9.7 1.7 .4 1 In the prime source data, the National Academy of Sciences shows an “ other” category, which may be used by respondents to the NAS doctoral report. However, it is not clear what this category includes. Ph. D .’s. Because of the great involvement of engi neers and chemists in industrial research and devel opment, private industry utilizes proportionately more doctoral workers in these two fields than in other fields. In many fields, few doctorate holders work outside of educational institutions. For ex ample, only 5 percent of the Ph. D ’s in the arts and humanities work outside of educational insti tutions. As an indication of the importance of R&D in industry and business, more than nine-tenths of the Ph. D .’s working for these employers hold degrees NOTE: Details may not add to totals due to rounding. in engineering and natural science (table 2). In government, slightly more than one-half of the Ph. D .’s are in engineering and natural science. The government’s strong interest in social welfare and health programs also can be seen clearly—more than one-fourth of government Ph. D .’s are in social science and psychology and another onefourth are in life science. On the other hand, in both educational institutions and nonprofit organiza tions, three-fifths of all Ph. D .’s are in fields other than engineering and natural science. Table 3. Employment of Ph. D.’s, by employer and primary work activity, 1972 Employer Total Teaching Research and development Administration Professional services to individuals Other activities Number (in thousands) All employers.............................................................. 334.6 168.6 109.8 26.8 18.9 10.6 Educational institutions................................................... Industry and business....................................................... Government...................................................................... Nonprofit organizations.................................................... Other1............................................................................... 235.9 48.7 27.6 12.7 9.7 166.6 .2 .7 .6 .4 38.6 40.5 18.1 6.9 5.7 21.7 1.1 2.3 1.0 .6 6.9 3.1 4.8 3.3 .7 2.1 3.7 1.6 .9 2.3 Percent distribution All employers.............................................................. 100.0 50.4 32.8 8.0 5.6 3.2 Educational institutions................................................... Industry and business....................................................... Government...................................................................... Nonprofit organizations.................................................... Other1............................................................................... 100.0 100.0 100.0 100.0 100.0 70.6 .5 2.7 4.9 4.5 16.4 83.1 65.6 54.1 58.7 9.2 2.3 8.4 7.7 5.8 2.9 6.4 17.5 26.3 7.7 .9 7.7 5.8 7.0 23.3 ' In the prime source data, the National Academy of Sciences shows an “ other” category, wflicTi may be used by respondents to the NAS doctoral report. However, it is not clear what this category includes. NOTE: Details may not add to totals due to rounding. P rim a ry w ork activity Ph. D .’s work primarily in teaching, research and development, administration, and professional serv ices to individuals. The single most important work activity is teaching—employing about one-half of them most of the time (table 3).3 Next to teaching, the most important work activity of Ph. D .’s—33 percent—is R&D. In all sectors ex cept education, more Ph. D ’s were engaged in R&D than any other activity. R&D activities in volved 83 percent of the Ph. D .’s employed in industry and business, 66 percent in government, and 54 percent in nonprofit organizations com pared with only 16 percent in educational institutions. About 8 percent or 26,800 of all Ph. D .’s were in administration in 1972. Approximately 21,700 of Profes sional Research! and j Adminis services Other Total Teaching to develop tration activities indivi ment duals Employer All employers.. 100.0 Educational institutions....... Industry and business............ Government......... Nonprofit organizations.... Other1................. 100.0 100.0 100.0 100.0 100.0 70.5 98.8 35.2 80.3 36.7 19.8 14.6 8.3 .1 .4 36.9 16.5 4.1 8.6 16.5 25.5 34.9 15.1 3.8 2.9 .4 .2 6.3 5.2 3.8 2.3 17.6 3.7 8.5 21.7 1 1n the prime source data, the National Academy of Sciences shows an “ other” category, which may be used by respondents to the NAS doctoral report. 3These data are based on what the Ph. D. did most of the time although the individual also may have worked in an other activity. NOTE: Details may not add to totals due to rounding. Table 5. Employment of Ph. D.’s, by field and primary work activity, 1972 Field Total Teaching Research and development Administration Professional services to individuals Other activities Number (in thousands) All fields................................................................... 334.6 168.6 109.8 26.8 18.9 10.6 Engineering and natural science...................................... Engineering................................................................. Physical science......................................................... Chemistry.............................................................. Physics.................................................................. Life science................................................................ Mathematics............................................................... Social science and psychology........................................ Psychology.................................................................. Arts and humanities.......................................................... Education......................................................................... Business and commerce................................................... Other fields....................................................................... 161.7 31.0 63.8 35.9 22.6 54.5 12.4 63.8 22.7 38.8 58.3 5.4 6.7 59.4 9.2 20.2 11.0 6.2 22.2 7.8 36.3 7.9 35.4 29.0 4.1 4.4 90.1 18.8 40.0 23.4 15.5 27.3 3.9 13.5 6.5 1.1 4.1 .4 .5 3.0 .7 .8 .4 .3 1.4 .1 2.8 .7 1.1 18.9 .4 .5 2.9 .6 .6 .2 .2 1.5 .2 9.3 7.0 .5 5.0 .3 .9 6.2 1.6 2.1 .9 .5 2.1 .4 1.9 .5 .7 1.2 .2 .3 Percent distribution All fields................................................................... 100.0 50.4 32.8 8.0 5.6 3.2 Engineering and natural science...................................... Engineering................................................................. Physical science......................................................... Chemistry.............................................................. Physics.................................................................. Life science................................................................ Mathematics............................................................... Social science and psychology......................................... Psychology.................................................................. Arts and humanities.......................................................... Education......................................................................... Business and commerce................................................... Other fields....................................................................... 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 36.8 29.8 31.7 30.6 27.3 40.7 62.8 56.9 35.0 91.1 49.8 75.8 66.6 55.7 60.6 62.7 65.2 68.6 50.2 31.8 21.2 28.8 2.9 7.1 7.4' 7.5 1.8 2.3 1.3 1.1 1.3 2.5 .7 4.4 2.9 2.9 32.4 7.9 7.8 1.8 2.0 1.0 .6 .7 2.8 1.3 14.5 31.0 1.2 8.6 5.1 13.8 3.9 5.3 3.3 2.5 2.1 3.8 3.4 3.0 2.3 1.9 2.1 3.8 4.3 these worked in educational institutions, 2,300 in government, 1,000 in nonprofit organizations, and 1,100 in industry and business. In the fourth activity, professional services to individuals,4 less than 6 percent of all Ph. D ’s are employed. Of these, 37 percent worked in educational institutions, 26 percent in nonprofit organizations, and 18 percent in government (table 4). Primary work activity varies considerably by field (table 5). For example, over three-fifths of Ph. D. 4Included are consultation, guidance, and advisory activities. mathematicians primarily teach, but no other group of engineering and natural science Ph. D .’s is en gaged in teaching to that extent. In engineering and natural science specialties, between one-half and two-thirds of the doctorate holders participate in R&D most of the time. Arts and humanities doc torate holders, on the other hand, have little em ployment outside of teaching. Psychology is the only field shown in which Ph. D .’s are very nearly evenly divided among three activities. Chapter II. Projected Requirements and Supply Requirem ents A basic question exists about the nature of the demand for Ph. D. manpower. Is there an identifi able need in a specific occupation for doctoral work ers that can be distinguished from a general need for college educated workers? If it cannot be sepa rately identified, projections of demand for Ph. D .’s would not be meaningful. The need exists if (1) specific jobs can be identified that require Ph. D .’s and (2) employers have special activities designed to recruit Ph. D .’s. Although a decision to hire a specific individual depends on that person’s qualifications and on cur rent economic conditions, the demand for Ph. D .’s can be identified separately from the more general demand for college graduates. This conclusion is based largely on a 1968 BLS study of doctoral scientists and engineers in private industry.5 How ever, a doctoral degree increasingly is required for academic employment, although private industry may be less rigid than higher education or govern ment in substituting non-Ph. D .’s for Ph. D .’s. Nonprofit organizations have hiring practices similar to policies in higher education. In some instances, employment of doctorate holders is related to the prestige factor of the degree itself. If an organization is willing to pay a higher rate for a Ph. D. than for a less qualified worker, then an effective demand exists. Whatever the reason, the result is the same—an economic demand for Ph. D ’s. The projections of requirements in this report assume a continuation through 1985 of past use patterns for Ph. D .’s relative to total workers in a specific occupation. For example, historical data indicated that the propprtion of psychologists em ployed by nonprofit organizations who have had a doctorate has remained at about 25 percent over the past several years. In the 1985 projections, this rate is, therefore, the same. 5Ph. D. Scientists and Engineers in Private Industry, 1968-80, Bulletin 1648 (Bureau of Labor Statistics, 1970). Most ratios, however, did change between 1966 and 1972, as a result of changes in the nature of the work requiring higher degrees of skill and education, institutional changes affecting occupational qualifica tions, and supply-demand conditions stemming from the rapid growth in the number of Ph. D. degrees that were awarded. Projected 1985 ratios developed for each field by sector of the economy were applied to the Bureau’s 1985 occupational projections to obtain the projections of Ph. D. requirements.6 In the analysis of Ph. D. manpower, therefore, the interaction of a greater (or lesser) supply than in the past of Ph. D .’s relative to demand could change employers’ use patterns. For example, if in a specific field many more Ph. D .’s became available than were being hired at the going wage rate for Ph. D .’s, theoretically some might accept jobs at lower wages which in turn could induce employers to hire even more Ph. D .’s. Also, a changing supply-demand situation of Ph. D .’s could change employers’ perceptions of what constitutes Ph. D.type work. To the extent that these perceptions change over time, Ph. D .’s could be employed in a wide variety of jobs not now currently filled by those holding the Ph. D. General assumptions that underlie the Bureau’s occupational projections are as follows: The institutional framework of the American economy will not change radically. Economic, social, technological, and scientific trends will continue, including values placed on work, education, in come, and leisure. Efforts to solve major domestic problems, such as air and water pollution, solid waste disposal, urban conges tion, inadequate industrial safety, and energy shortages, may consume more productive resources. Fiscal, monetary, and manpower training and educational programs will achieve a satisfactory balance between unem ployment and price stability, permitting achievement of the long-term economic growth rate. (The projections assume a 4-percent unemployment rate and a 3-percent annual increase in the implicit price deflator for gross national product.) 6 See appendix for detailed explanation. The projections also assume that U.S. energy requirements will be roughly in line with those pro jected by the U.S. Department of the Interior in U.S. Energy Through the Year 2000, December 1970. This means major reliance on oil imports to close the energy supply-demand gap. However, cur tailment of oil supplies from the Mideast in late 1973 raised questions regarding the use of imports to close the supply-demand gap over the next few years. It remains to be seen what implications higher oil prices may have for the long-term growth rate and for structural changes in the economy. The Bureau is studying the employment effects of alter native assumptions on energy; the results are ex pected to be available in late 1975. Factors affecting requirem ents The earlier discussion indicated the basic param eters for projections of Ph. D .’s in this report. However, several factors in specific occupations affect the demand for Ph. D .’s. The two most im portant work activities of Ph. D .’s are teaching and research and development. Although teaching is done primarily by college and university faculty, R&D activities take place in different sectors of the econo my-colleges and universities, private industry, gov ernment, and nonprofit organizations. Some of the specific factors that affect the demand for faculty Ph. D .’s and research Ph. D .’s are discussed in the following paragraphs. Faculty. In educational institutions, doctorate hold ers teach and advise students; conduct research; and administer schools, departments, or programs. In statistical terms, college and university demand for Ph. D .’s is a function of the number of young persons in the population, the proportion attending college, pupil-faculty ratios, and doctorate-faculty ratios. The Office of Education’s projections of total faculty, which were used to develop the doctorate-faculty ratios in this report, indicate that pupil-teacher ratios will continue to decline gradually.7 In 1972, about 57 percent of all faculty members in 4-year colleges and universities held a doctorate. If present trends continue, the proportion of faculty having doctorates by 1985 could be expected to rise to about 65 percent. Based on trends between 1966 and 1972, the comparable ratios for community 7 During the 1972-85 period covered by this study, the Office of Education projects that enrollment in institutions of higher education will increase by 5.6 percent. colleges would be 5 percent in 1972 and 9 percent in 1985. If 65 percent of college and university faculty have doctorates by 1985, projections in this report imply that about 71 percent of new hires in 4-year colleges and universities and about 10 percent of new hires in community colleges will have such degrees. 8 Doctorate holders working in elementary and secondary schools are primarily Ed. D .’s, although the exact proportion of such workers is not known. The projections, therefore, reflect trends for the period 1957-72 in the proportion of doctorate hold ers to all teachers employed in elementary and secondary schools. Research and development. The key demand factor for doctorate holders in sectors other than educa tional institutions is R&D activity, which is largely performed by scientists and engineers. Two aspects are involved in estimating demand for Ph. D .’s in R&D: (1) The level of R&D activity (dollars expended), and (2) the nature of R&D activity (the mix between research and development). Doctorate holders are more likely to do research than development. The Ph. D. projections in this report are consistent with the level of R&D activity implied in the Bureau’s economic projections to 1985. Other factors. Most Ph. D .’s work in either teach ing or R&D positions. A rapidly growing number of doctorate holders, however, work in jobs that prob ably could be performed as well by non-Ph. D .’s. Even when demand generally has been high, some Ph. D .’s have worked by choice in jobs that tradi tionally have not been held by Ph. D .’s; others, for personal reasons, could only find such jobs. It is likely that this type of nontraditional employment and underemployment will continue. Employment of Ph. D .’s in these kinds of jobs does not represent true demand for doctoral manpower, but it does draw on the supply of Ph. D ’s. These patterns must be accounted for in projections of future de mand if the picture is to be complete. Projected requirem ents Over the 1972-85 period, requirements for P h .D .’s are projected to rise about 42 percent or 13A times as fast as total employment. By comparison, demand for workers having 4 years or more of college is 8 See alternative projections on page 13. Requirements, 1985 Employer Demand for engineering Ph. D .’s is expected to rise to 59,100, an increase of more than 90 percent— the largest relative increase of all the fields. More than three-fifths of these jobs in 1985 are projected for industry and business. Nearly another one-third are expected to be in educational institutions. Demand for physical science Ph. D .’s is projected to increase by about 44 percent to 91,700. Nearly one-half of the jobs are expected to be in industry and business, with another two-fifths in educational institutions. Some variation exists for the two major subfields, chemistry and physics. Demand for chemistry Ph. D .’s is expected to grow to 50,000, nearly 41 percent above 1972 levels. Nearly three-fifths of the projected 1985 requirements are expected to be in industry and business and almost one-third in educa tional institutions. On the other hand, nearly onehalf of the projected jobs for physics Ph. D .’s in 1985 are expected to be for work in educational institutions and more than one-third in industry and business, with demand for all Ph. D .’s in physics rising by 30 percent to 29,400. Demand for life science Ph. D .’s is projected to grow by 34 percent to 73,100. More than two-thirds of these are expected to be employed by educational institutions in 1985. Mathematics Ph. D. requirements are projected to increase by nearly 59 percent to 19,800, with threefourths of all mathematics doctoral degree holders working for educational institutions. Social science and psychology Ph. D. require ments are projected to rise by about 37 percent to 87,100. Three-fourths of the jobs for these workers are expected to be in educational institutions. Percent change, 1972-85 All employers.................. 474,900 41.9 Educational institutions.......... Industry and business.............. Government.............................. Nonprofit organizations........... 312,000 97,400 42,700 22,800 32.3 100.0 54.7 79.1 NOTE: Details may not add to totals due to rounding. projected to rise by about 68 percent because of ex pected rapid increases in sales and managerial jobs— areas not expected to have a significant demand for Ph. D .’s. The projected rate of growth for Ph. D .’s varies among different employers. Requirements for Ph. D .’s in educational institutions are expected to increase only 32 percent; in government, almost 55 percent; in nonprofit organizations 79 percent; and in industry and business, 100 percent (table 6). As a result of these different growth rates, the distribu tion of Ph. D .’s by sector of the economy is ex pected to change over the 1972-85 period as follows: Distribution of Ph. D.’s, by employer 1972 1985 Total................................. 100.0 100.0 Educational institutions.......... Industry and business.............. Government............................. Nonprofit organizations........... 72.6 15.0 8.5 3.9 65.7 20.5 9.0 4.8 The projections also show great variety in growth rates by occupation (tables 7 and 8). Table 7. Projected requirements for Ph. D.'s, by field, 1985 Field Employment, 1972 Requirements, 1985 Percent change, 1972-85 All fields................................................................... 334,600 474,900 41.9 Engineering and natural science...................................... Engineering................................................................. Physical science......................................................... Chemistry.............................................................. Physics.................................................................. Life science................................................................ Mathematics............................................................... Social science and psychology......................................... Psychology.................................................................. Arts and humanities.......................................................... Education......................................................................... Business and commerce................................................... Other fields....................................................................... 161,700 31,000 63,800 35,900 22,600 54,500 12,400 63,800 22,700 38,800 58,300 5,400 6,700 243,700 59,100 91,700 50,500 29,400 73,100 19,800 87,100 34,400 49,400 79,200 6,300 9,100 50.7 90.5 43.8 40.7 30.0 34.2 59.3 36.5 51.7 27.3 35.9 18.2 37.2 n Field Total Educational institutions Industry and business Nonprofit organizations Government Number (in thousands) All fields................................................................... 474.9 312.0 97.4 42.7 22.8 Engineering and natural science...................................... Engineering................................................................. Physical science......................................................... Chemistry.............................................................. Physics.................................................................. Life science............................................................... Mathematics............................................................... Social science and psychology........................................ Psychology.................................................................. Arts and humanities.......................................................... Education......................................................................... Business and commerce................................................... Other fields....................................................................... 243.7 59.1 91.7 50.5 29.4 73.1 19.8 87.1 34.4 49.4 79.2 6.3 9.1 120.2 18.0 37.0 16.1 13.7 50.1 15.1 65.4 20.2 46.7 68.3 5.2 6.1 90.8 35.6 44.0 29.9 10.6 7.9 3.3 3.6 1.0 .8 1.2 .7 .3 25.2 3.5 8.3 3.6 3.6 12.6 .8 12.1 9.7 .7 4.1 .2 .4 7.5 2.0 2.5 .9 1.4 2.5 .5 6.0 3.5 1.2 5.6 .2 2.3 Percent distribution All fields................................................................... 100.0 65.7 20.5 9.0 4.8 Engineering and natural science....................................... Engineering................................................................. Physical science......................................................... Chemistry............................................................. Physics................................................................. Life science............................................................... Mathematics............................................................... Social science and psychology........................................ Psychology................................................................. Arts and humanities......................................................... Education........................................................................ Business and commerce.................................................. Other fields...................................................................... 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 49.3 30.5 40.3 31.9 46.8 68.5 76.2 75.1 58.6 94.6 86.2 82.8 67.2 37.3 60.3 48.0 59.2 36.2 10.7 16.8 4.2 2.9 1.6 1.5 11.0 3.1 10.4 5.9 9.0 7.1 12.2 17.3 4.2 13.9 28.2 1.3 5.2 3.1 4.3 3.1 3.3 2.7 1.8 4.8 3.4 2.7 6.8 10.3 2.5 7.1 3.1 25.3 NOTE: Details may not add to totals due to rounding. Psychology Ph. D. requirements, which are ex pected to increase nearly 52 percent, will rise most rapidly in government where more than one-fourth of the jobs in 1985 are projected to be found. Grow ing nearly as rapidly, psychology degree holders em ployed by educational institutions may constitute nearly three-fifths of the 1985 requirements. Demand for arts and humanities Ph. D .’s, nearly all of whom are expected to be employed by educa tional institutions, is projected to increase by 27 percent to 49,400. Demand for education Ph. D .’s is expected to in crease by 36 percent to 79,200. Although require ments in industry and business and in nonprofit organizations are projected to double and triple, respectively, nearly 9 of every 10 are expected to be working for educational institutions. Demand for business and commerce Ph. D .’s is projected to grow to 6,300, an increase of only 18 percent. Although industry’s demand for these is expected to grow, only about 1 of every 10 is ex pected to work for industry and business. Most are projected still to be in educational institutions. Demand for doctorate holders in all other fields is projected to increase by 37 percent to 9,100. About two-thirds of these probably will be needed by educational institutions. One-fourth are expected to be working for nonprofit organizations. Owing to the variation in the projected growth rates among individual fields, the distribution of Ph. D .’s in 1985, by broad field, is expected to change somewhat from the distribution in 1972, as shown in the following tabulation: Distribution of Ph. D.’s, ________ by field_______ Total, all fields................ Engineering and natural science..................... Social science and psychology............................. Arts and humanities................. Education................................ Business and commerce.......... Other fields.............................. 1972 1985 100.0 100.0 48.3 51.3 19.1 11.6 17.4 1.6 2.0 18.4 10.4 16.7 1.3 1.9 Total demand All fields................................................................... Engineering and natural science...................................... Engineering................................................................. Physical science......................................................... Chemistry.............................................................. Physics.................................................................. Life science................................................................ Mathematics............................................................... Social science and psychology........................................ Psychology.................................................................. Arts and humanities.......................................................... Education......................................................................... Business and commerce................................................... Other fields....................................................................... Field Growth Replacement needs Total Educational upgrading Employment expansion 187,400 140,300 30,800 109,500 47,100 100,100 29,300 33,400 14,800 7,700 27,600 10,000 35,200 15,000 19,700 26,800 2,000 3,600 82,000 28,100 28,000 14,600 6,700 18,600 7,400 23,300 11,700 10,600 20,900 1,000 2,500 19,900 5,500 8,900 7,100 1,100 3,400 2,100 4,900 4,100 200 4,000 300 1,700 62,100 22,600 19,100 7,500 5,600 15,200 5,300 18,400 7,600 10,400 16,900 900 800 18,100 1,200 5,400 200 1,000 9,000 2,600 11,900 3,300 9,100 5,900 1,000 1,100 NOTE: Details may not add to totals due to rounding. Job op e n in gs A lte rn a tiv e projections Job openings for Ph. D .’s are created by either occupational growth or the need to replace Ph. D .’s who will retire, die, or otherwise leave the labor force. The projections in this report indicate a need for about 187,000 doctorate holders over the 1972-85 period, 140,000 for growth and 47,000 for replace ments (table 9). Openings resulting from growth are based on an analysis of trends in the proportion of workers in each occupational field holding a doctorate. (See appendix for a discussion of the projection method.) About four-fifths of these job ^openings stem from growth in the number of workers in each occupation. The remainder result from the educational upgrading of jobs and reflect the projected 1972-85 increase in the proportion of workers in each field holding a doctorate. Replacement needs are estimated by applying an average annual separation rate to the projected average annual employment between 1972 and 1985. The separation rate for Ph. D .’s, 0.89 percent,9 was computed as a part of this study. (See appendix.) Growth and replacement needs also may be ex pressed as annual openings for Ph. D. workers. Approximately 14,000 doctorate holders will be re quired on the average each year between 1972 and 1985, of which one-fourth will replace Ph. D. work ers who retire, die, or leave the labor force for other reasons. The job projections described earlier are based on continuation of past trends and certain assumptions about the ratio of Ph. D .’s to all workers for each occupation in each major economic sector. However, many factors, including changing wage differentials and changing technology, could alter these patterns. It is desirable to know, therefore, the effect of changes in these ratios on manpower needs for Ph. D .’s. Alternative projections were developed for 4-year college and university faculties, the sector of the economy employing the most Ph. D .’s. The basic projections imply that about 71 percent of annual faculty openings would be job openings for Ph. D .’s. Thus, of the estimated 8,250 annual openings for faculty over the 1972-85 period, 5,900 would be for Ph. D .’s. However, the proportion could rise if greater numbers of doctorate workers were available at lower relative salaries, and, consequently, colleges and universities hired more Ph. D .’s. Increases of 5 percentage points to 76 percent and 10 percentage points to 81 percent would raise annual openings as shown in the following tabulation. Over the 13-year period, job openings for an additional 5,200 Ph. D .’s on college and university faculties would result from each 5-percentage point increase in the proportion of new hires with a doctoral degree. 9This rate is somewhat lower than comparable rates for all college and university teachers (2.68 percent) or for all physicists (1.07 percent) because the age distributions of Ph. D .’s in both 1972 and 1985 are skewed toward workers under the age of 40. Percent of new hires with doctorates 71 76 81 Annual faculty openings Annual Ph. D. requirements 8,250 8,250 8,250 5,900 6,300 6,700 If 81 percent of all new faculty hires for colleges and universities between 1972 and 1985 have doc torates, by 1985 the percentage of total faculty with doctoral degrees would rise to about 67 percent. As may be seen from the following tabulation, large increases in the proportion of new hires with doc torates would produce small changes in the per centage of the faculty with doctorates because the ratio of annual openings to total faculty averages only 2 percent between 1972 and 1985. Even if 100 percent of all new hires have doctorates, the per centage of total faculty with doctorates would rise to only 73 percent in 1985. Percent of annual new hires with doctorates (1972-85) Percent of total faculty with doctorates (1985) 71 81 85 100 65 67 68 73 Increasing the proportion of Ph. D .’s employed by community colleges probably will not have much effect either. The projections developed in this re port indicate that 10 percent of the projected 11,000 annual new hires by junior colleges will have doc torates. For each increase of 5 percentage points, only 550 additional doctorates would be needed each year. Thus, these institutions probably will have little effect on the supply-demand balance of Ph. D .’s. Su p ply The supply estimates in this report are based on the U.S. Office of Education’s projections of doc torate degrees. Projections for the first 5 years, by field, are based primarily on enrollments for ad vanced degrees the previous fall and the proportion of these enrollments that historically have resulted in doctorates.10 This method is valid since anyone who will earn a doctorate in the next 5 years prob ably is enrolled in graduate school.11 Projections of Ph. D. degrees beyond 5 years are based on more general demographic characteristics, and assume that the percent of the age group getting a doctorate will continue to increase, but at a slower rate than in the past. In the past, population growth, increased sources of student financial support, and other factors com bined to produce a rapidly growing number of new doctorate degree recipients each year. In the future, 10 This procedure was first initiated in 1971. 11 Report on the CGS Doctorate Production Survey (Washing ton: Council of Graduate Schools, May 3, 1972). Field Number Percent All fields................................................................... 583.400 Engineering and natural science....................................... Engineering................................................................. Physical science.............................................. Chemistry.............................................................. Physics.................................................................. Life science................................................................ Mathematics............................................................... Social science and psychology......................................... Psychology.................................................................. Arts and humanities.......................................................... Education.................................................................... Business and commerce................................................... Other fields.................. .................................................... 224.400 50.300 60.300 25,800 19,900 92,200 21,600 101,800 37,700 79,600 148,800 19,200 9,700 100.0 38.5 8.6 10.3 4.4 3.4 15.8 3.7 17.5 6.5 13.6 25.5 3.3 1.7 NOTE: Details may not add to totals due to rounding. even though the school age population will not con tinue to grow at past rates, the impact of rising educational aspirations, as measured by the trend of rising proportions of the college age population who complete college and attend graduate school, indi cates a 3-percent annual increase in the number of new doctorates between 1972 and 1985. Not all new Ph. D. recipients, however, enter the U.S. labor force. Some foreign nationals return to their homelands and some U.S. citizens choose to work overseas. On the other hand, some persons who earn Ph. D .’s overseas (or who originally were trained in the U.S. and returned to their homelands) may immigrate. Estimates of the first group were subtracted, and of the second group were added to the Office of Education projections. After these ad justments, about 580,000 Ph. D .’s would be seeking to enter the U.S. labor force between 1972 and Table 11. supply and demand, 1985 (in thousands) Field New supply, 1972-85 Openings, 1972-85 Difference All fields................................... 583.4 187.4 396.0 Engineering and natural science...... Engineering................................. Physical science........................ Chemistry.............................. Physics.................................. Life science............................... Mathematics............................... Social science and psychology........ Psychology................................. Arts and humanities......................... Education......................................... Business and commerce.................. Other fields....................................... 224.4 50.3 60.3 25.8 19.9 92.2 21.6 101.8 37.7 79.6 148.8 19.2 9.7 100.1 29.3 33.4 14.8 7.7 27.6 10.0 35.2 15.0 19.7 26.8 2.0 3.6 124.3 21.0 26.9 11.0 12.2 64.6 11.6 66.6 22.7 59.9 122.0 17.2 6.1 1985. About 70 percent of them will have earned degrees during that period (table 10). Based on these projections, nearly two-fifths of new doctoral workers over the 1972-85 period would be in engineering and natural science; one-fourth in education; one-sixth in social science and psychology; one-eighth in arts and humanities; and small pro portions in business and commerce and other fields. Sup ply-D e m an d Balance According to the projections of requirements pre sented earlier, job openings for doctoral degree workers between 1972 and 1985 would total about 187,000. The available supply of new Ph. D .’s dur ing the same period, however, is estimated at about 580,000 persons. Therefore, if present trends continue in patterns of use of Ph. D .’s relative to other work ers and in the proportion of persons obtaining doc toral degrees, by 1985 more than twice as many Ph. D .’s would be available for work in Ph. D.-type jobs as there are jobs (table 11). The gap between the prospective supply and re quirements for new Ph. D .’s varies by field. For example, in physics, the supply would be about half again more than requirements while in mathematics, only about one-eighth more. In contrast, projected supply may be twice as high in life science or social science and psychology; 3 times in arts and humani ties; 4l/2 times in education; and 8V2 times in busi ness and commerce. However, in many cases the magnitude of numerical differences is more note worthy. Chapter III. For many years, society seemed to have an insati able demand for new doctoral degree holders. Be ginning in the mid-1960’s, however, observers began cautioning that perhaps the situation would change.12 This report supports the conclusions reached by those anticipating a changing supply-demand rela tionship in the 1970’s through the mid-1980’s. Even under the most extreme alternative projections, sup ply would greatly exceed demand. This chapter focuses on some of the implications of the imbalance in this relationship and of the groups primarily affected: (1) individuals, (2) universities, (3) other employers, and (4) society. Individuals. Even with the oversupply projected, it is unlikely that unemployment of Ph. D .’s will be high relative to other groups in the labor force. In stead, underemployment—defined as employment in a job requiring less skill than the worker has ac quired—with its inherent job dissatisfaction, may be widespread. When persons with more education take jobs pre viously held by individuals with less education, bumping—a chain reaction felt most on the low end—is set off through the economy from the highest level. In the future, workers without a college degree will have less chance than in the past of advancing to professional positions and to higher level posi tions in sales, managerial, and some clerical and service occupations. Competition for entry jobs may be limited and few jobs may be available. As a result, salary differentials paid to Ph. D. holders may narrow, although preliminary evidence is mixed. For the years 1967-68 through 1972-73, information from the College Placement Council’s survey of salary offers to new degree recipients shows no clear trend toward either widening or narrowing of the differentials between bachelor’s degree salaries ,2Allan M. Cartter, “ A New Look at the Supply of College Teachers,” Educational Record, Vol. 44, Summer 1965; Allan M. Cartter, ‘‘Scientific Manpower for 1970-1985,” Science, 172, Apr. 9, 1971; Dael Wolfe and Charles V. Kidd, ‘‘The Future Market for Ph. D .’s,” Science, 172, Aug. 27, 1971; and the Carnegie Commission’s College Graduates and Jobs (New York: McGraw-Hill, 1973). Implications and doctorate degree salaries. For example, between 1967-68 and 1972-73, salary offers to new physics graduates increased by about 16 percent for those with the bachelor’s degree; for those with the Ph. D ., the increase was about 14 percent. For mathematics graduates, comparable figures were 14 percent and 20 percent. Universities. For universities, the availability of funds to support graduate students is a major factor underlying the Ph. D. manpower situation. During the peak academic year of 1967-68, for example, about 51,000 graduate students held federally sup ported fellowships or traineeships, many for 3 years of study. By the 1972-73 academic year, the number of students funded in this manner had fallen to fewer than 25,000. By early 1974, the estimate was 6,600 for the 1974-75 academic year, mostly for only 1 year of graduate education. Between 1974 and 1978, a similar drop is ex pected in the number of graduate students sup ported by the current G.I. Bill, even though the number increased 6 percent from fiscal 1972 to fiscal 1973. However, because fewer persons have been discharged since 1970 and because veterans have only 10 years in which to use their educational bene fits, a turning point in graduate enrollments may occur in the late 1970’s or early 1980’s. The effect of this situation on Ph. D. training and employment in colleges and universities is difficult to predict. On one hand, if government funds for graduate education do not become more readily avail able, universities may find it economically inefficient to operate as many doctoral programs as at present. Neighboring institutions may consolidate duplicate programs and eliminate others with limited appeal. On the other hand, the overall effect of Federal support on graduate enrollments is not clearly known. Possibly, students may obtain funds from other sources, such as employment or family, and reduc tions in enrollment could be slight. Some students, however, may decide not to go on to graduate school as the marginal advantage of having a doc toral degree declines. New baccalaureate graduates may decide that the income lost while in graduate school is greater than the possible additional lifetime earnings with a doctorate. Doctoral study programs may need to be re structured. With about one-half of all Ph. D .’s teaching in classrooms, more emphasis may be given to developing teaching skills. At present, nearly all doctorates are research oriented with relatively few doctoral candidates pursuing the Doctor of Arts degree. Other employers. Employers may be more selective in hiring and advancement practices. They also may find they must be selective in hiring Ph. D .’s for work other than what has traditionally been done by Ph. D .’s lest morale problems develop. Job dissatis faction may increase among workers at all levels if educational requirements get upgraded without co incident upgrading of job responsibilities. Employers, therefore, may have to consider ways to restructure jobs to make use of Ph. D .’s. Employers may be encouraged to restructure jobs if salary differentials do narrow between Ph. D .’s and other college graduates. Relatively lower Ph. D. salaries might make it more attractive to hire in creased numbers of Ph. D .’s .13 Society. Finally, society—the Nation—must evaluate and weigh the purpose of graduate education against other national priorities, before deciding how much to spend in support of graduate education.14 Also, the relationship between national input for graduate education and the supply of and demand for Ph. D .’s must be determined. During the 1950’s and early 1960’s, when the Nation faced a shortage of doctoral manpower, support was forthcoming. Now when an oversupply of doctoral manpower is per ceived, should support for graduate education be cut back? Before the Nation can decide these questions, it must determine what happens if the continued rapid growth of the manpower pool of Ph. D .’s is actively discouraged. Will trained manpower be available to carry on the progress of this Nation? Will Ph. D .’s be trained in fields and specialties needed? What if a national emergency requires manpower that is not available? This report has attempted to provide data that can serve as a basis for the policymakers and planners who will be concerned with these problems. 13 Some researchers believe that the classical price system re action to manpower surpluses has already begun in the Ph. D. labor market. Freeman and Breneman, for example, estimate that relative starting salaries of Ph. D. scientists and engineers fell during the 1969-73 period. They feel that a continuation of this trend would reestablish equilibrium between Ph. D. supply and demand. See Richard B. Freeman and David W. Breneman, Forecasting the Ph. D. Labor Market: Pitfalls for Policy, Tech nical Report No. Two (Washington: National Board on Grad uate Education, April 1974). 14A comprehensive discussion of this is contained in Grad uate Education: Purposes, Problems, and Potential, Technical Report No. One (Washington: National Board on Graduate Education, November 1972). Appendix: D ata Sources and Statistical M ethods D a ta sources The Doctorate Records Files of the National Academy of Sciences provided most of the data for the 1972 employment estimate. These records, which begin with 1920, have become progressively more detailed with the passage of time. Information is supplied by all doctoral candidates in all fields shortly before graduation. Also helpful was Careers of Ph. D .’s, Academic Versus Nonacademic (NAS Publication 1577). To augment these data, other sources of informa tion were used. Principal among these were two National Science Foundation Reports, American Science Manpower, 1970 (NSF 71-45), and Scientists and Engineers from Abroad, 1962-64 (NSF 67-3). Variables used to project requirements levels are from the Bureau’s economic model for 1985 as pub lished in the Monthly Labor Review, December 1973, Vol. 96, No. 12, reprinted as The U.S. Econ omy in 1985: A Summary of BLS Projections, Bulle tin 1809 (1974). Additional independent variables were taken from the U.S. Office of Education pro jections of earned degrees and faculty size. Insight into the proportion of faculty members having the doctorate and working in elementary and secondary schools, junior colleges, or 4-year colleges and universities was gained from two Office of Education studies, both titled Numbers and Charac teristics of Employees of Institutions of Higher Edu cation—for 1966 and 1967. Alan E. Bayer’s College and University Faculty: A Statistical Description and Teaching Faculty in Academe: 1972-73 helped to further delineate the faculty information. Estimated new supply of doctorate holders for the 1972-85 period was based on the Office of Educa tion’s 1973 doctoral degree projections by field. For the first 5 years of this period, the Office of Edu cation relates its projections directly to enrollments for advanced degrees the previous fall. For the second half of the period, projections are related to more general demographic characteristics. Statistical m ethods A. Current employment, 1972 For purposes of this study, it has been assumed that Ph. D .’s employed in 1972 earned doctorates Table A-l. Current employment of Ph. D.’s, 1972 (in thousands) Field All fields.............................................................. Engineering and natural science................................. Engineering............................................................ Physical science.................................................... Chemistry......................................................... Physics............................................................. Life science........................................................... Mathematics.......................................................... Social science and psychology.................................... Psychology............................................................. Arts and humanities..................................................... Education.................................................................... Business and commerce............................................. Other fields................................................................. Gross doctorates awarded, 1932-72 Losses to foreign employers, 1932-72 Losses from deaths and retirements, 1932-72 Additions from immigration (net), 1932-72 Employment of doctorate holders, 1972 390.1 26.3 40.2 11.0 334.6 15.3 2.8 5.3 2.0 1.3 6.4 .9 4.7 .8 1.9 2.6 .5 1.4 19.0 3.8 7.2 4.2 2.3 6.6 1.4 7.8 2.7 4.8 7.2 .6 .8 8.6 .3 6.1 2.2 3.9 1.4 .8 1.3 .6 .6 (1 ) .2 .3 161.7 31.0 63.8 35.9 22.6 54.5 12.4 63.8 22.7 38.8 58.3 5.4 6.7 187.4 37.3 70.1 39.9 22.4 66.0 13.9 75.0 25.7 44.9 68.0 6.3 8.5 between 1932 and 1972. Thus, a 30-year old doc torate recipient in 1932 would be 70 years old in 1972. The Doctorate Records Files provided data for estimates of the total number of doctorates awarded by field. Persons involved in post doctoral study or training in 1971 and 1972 were considered employed in colleges and universities. From these gross figures, estimates were subtracted of new doctorates who leave this country to work for foreign employers or to return to their native lands. For the years 1958 through 1972, these data are available from the Doctorate Records Files. Estimates of these losses for earlier years were developed on the basis of the reported trend (table A-l). Losses due to deaths, retirements, and other fac tors were then calculated in 5-year specific age group cohorts. The cohorts were advanced in 5-year periods through the 41 years. Since several researchers have noted that the working life patterns of female Ph. D .’s closely resemble the career patterns of their male peers,1 male separation rates2 were used for the whole group. A final adjustment was made for net immigration of persons with doctorates from foreign universities. A National Science Foundation (NSF) report on foreign scientists and engineers was the basis of these estimates.3 No adjustments w •„ made for unemployment since such data are available for doctorate holders for only 2 years, 1970 and 1971.4 Information on employer and primary work activi ty of new doctorate recipients is available from the Doctorate Records Files beginning in 1957. Since about 70 percent of the doctorates employed in 1972 received degrees after 1960, a distribution of activity by employer based on data for this group is a good indication of the characteristics of the whole group. Averages which were computed by field for the 15year period became the basis for distributing the 1972 Ph. D. pool among the several employer types and primary work activities. The final distri butions compared favorably with the 1970 NSF National Register. J See, for example, John K. Folger, Helen S. Astin, and Alan E. Bayer, Human Resources and Higher Education (New York: Russell Sage Foundation, 1970), pp. 288-94. 2Tomorrow’s Manpower Needs, Supplement 4, Bulletin 1606 (Bureau of Labor Statistics, 1974). 3 Scientists and Engineers from Abroad, 1962-64, NSF 67-3 (National Science Foundation, 1967). 4Unemployment Rates and Employment Characteristics for Scientists and Engineers, 1971, NSF 72-307 (National Science Foundation, 1972). Justification for using reports of “ first post doctoral employer” data to represent lifetime career patterns is found in the National Research Council’s (NRC) second report on a follow-up study of 10,000 doctorate holders from the classes of 1935, 1940, 1945, 1950, 1955, and 1960.5 NRC found that onehalf of the Ph. D .’s spent their careers in academic employment and one-fourth in nonacademic employ ment. The remaining one-fourth were divided about equally between those who switched from academic to nonacademic jobs and those who switched in the opposite direction. After the total number of separations had been deducted, an age distribution remained for those employed in 1972 (table A-2). Based on this age array and 1-year specific age group male separation rates, an annual average separation rate of 0.8185 percent for doctorate holders during the 1932-72 period was computed. B. Requirements, 1985 In order to have some basis for projecting trends and patterns of Ph. D. workers, employment patterns were developed for the 6 preceding years—1966, 1967, 1968, 1969, 1970, and 1971. The method used was exactly the same as explained earlier for the 1972 estimate. However, because employer data were not available until 1957 and because more new doctorates are included in the computed average at the end of the period than at any of its other points, estimates for 1966 are less reliable than those for 1972. This “ time series,” including 1972, is shown in table A-3. The greatest numbers of Ph. D .’s are employed by educational institutions—a broad classification includ ing 4-year colleges and universities, com m unity col leges, and elementary and secondary schools. To project future demand in these three areas, it was first necessary to break them out of the time series estimates. The Doctorate Records Files distinguish only “ colleges and universities” and “ elementary and secondary schools.” Distributions fo rallP h .D .’s in educational institutions were based on estimates in two Office of Education reports.6 Alan Bayer’s study provided a basis for developing community college estimates.7 5Careers of Ph. D .’s Academic Versus Nonacademic, Publi cation 1577 (National Academy of Sciences, 1968). 6Numbers and Characteristics of Employees of Institutions of Higher Education, 1966 and 1967 editions (U.S. Department of Health, Education, and Welfare, Office of Education). 7Alan E. Bayer, College and University Faculty: A Statistical Description, Vol. 5, No. 5, (Washington: American Council on Education, 1970). Percent Number (in thousands) Age group Table A-4. Percent distribution of Ph. D.’s employed by educational institutions, 196672 Total............. 323.6 100.0 25-34...................... 3544...................... 45-54...................... 55-64 ..................... 65 and over............ 179.9 91.2 32.7 17.6 2.2 55.6 28.2 10.1 5.4 .7 Year These ratios were converted to numerical estimates and applied to faculty data from the Office of Edu cation to produce ratios of Ph. D .’s to total faculty. From these ratios, which were projected to 1985, numerical estimates were developed. Subsequently, these estimates were used as controls for the projec tions by field of Ph. D .’s in educational institutions. The “ time series” observations became the basis for developing trend lines and projections in each field for each employer. Generally, the independent variables were employment requirements projections developed in the Bureau’s basic projection model for 1985 and published in The U.S. Economy in 1985, BLS Bulletin 1809. For example, Ph. D .’s in engineering and natural science were related to BLS projections of engineers and scientists, by field and industry. Other Ph. D .’s in industry, govern ment, and nonprofit organizations were related to total workers in closely related occupational groups, e.g., social science was related to social scientists. Table A-3. Estimated employment of Ph. D.’s, by field, 19G6-72 (in thousands) Field 1966 1967 1968 1969 All fields........ 197.4 214.8 234.6 257.1 Engineering and natural science.... Engineering...... Physical science.......... Chemistry.... Physics....... Life science..... Mathematics.... Social science and psychology.......... Psychology....... Arts and humanities.......... Education.............. Business and commerce........... Other fields............ 1970 1971 1972 280.2 298.0 334.6 97.5 106.5 116.1 127.1 14.9 17.0 19.2 22.1 138.1 25.1 145.6 27.0 161.7 31.0 Total in all educational institutions 4-year colleges and universities 100.0 100.0 100.0 100.0 100.0 100.0 100.0 92.6 92.0 91.5 90.9 90.0 90.1 89.8 1966........... 1967........... 1968........... 1969........... 1970........... 1971........... 1972........... 1.6 1.8 1.9 2.0 2.4 2.9 3.3 5.8 6.2 6.7 7.1 7.6 7.1 6.9 Projections of Ph. D .’s in colleges and universities were tied to degree projections for all levels in the same field and were controlled by the previously projected total faculty estimates. The resultant numeri cal estimates were aggregated. C. Openings, 1972-85 Projected openings during the 1972-85 period arise from two components, growth and replacements. Growth was determined by subtracting 1972 employ ment from 1985 projected requirements: 1985 requirements.................................................................................474,900 1972 employment................................................................................. 334,600 1972-85 growth............................................................................... 140,300 1972-85 annual average growth...................................................... 10,800 The second component of openings—replacement needs—was estimated for the 1972-85 period in the same manner as earlier for the 1932-72 period. A 1985 age distribution was computed, along with a 1985 annual average separation rate of 0.9739 per cent (table A-5). Since replacement needs usually are computed on an average employment figure or time period mid point estimate, the 1972 and 1985 annual average separation rates were averaged to produce an esti- 42.0 '45.3 26.0 27.7 12.4 13.5 34.1 36.8 7.4 6;6 48.9 29.7 14.8 39.7 8.3 52.7 31.6 16.2 43.3 9.1 56.1 32.2 19.4 46.6 10.2 58.5 33.1 20.6 49.0 11.1 63.8 35.9 22.6 54.5 12.4 39.4 13.3 42.6 14.5 46.2/ 15.8 50.7 17.3 54.8 18.8 57.6 20.1 63.8 22.7 Age group 22.7 31.2 24.5 34.1 26.7 37.6 29.0 41.5 31.2 46.5 33.9 50.4 38.8 58.3 2.6 4.0 2.8 4.4 3.3 4.5 3.6 5.2 4.2 5.5 4.5 6.1 5.4 6.7 Elementary and secondary schools Commu nity colleges Table A-5. Estimated age distribution of Ph. D.’s, 1985 Number (in thousands) Percent Total............. 474.9 100.0 25-34...................... 3544...................... 45-54...................... 55-64...................... 65 and over............ 117.3 204.2 109.7 33.7 10.0 24.7 43.0 23.1 7.1 2.1 mated separation rate of 0.8962 percent for the 1972-85 period.8 Thus: (in thousands) Field All fields........ Engineering and natural science.... Engineering...... Physical science.......... Chemistry.... Physics....... Life science..... Mathematics.... Social science and psychology.......... Psychology....... Arts and humanities.......... Education.............. Business and commerce........... Other fields............ U.S. Office of Education projected degrees, 1972-73 to 1984-85 Losses to1 Additions foreign from employers immigration Estimated supply, 1985 D. 609.1 38.7 13.0 583.4 233.6 53.9 19.4 4.0 10.2 .3 224.4 50.3 57.4 24.4 16.3 100.2 22.0 4.4 1.2 1.0 9.6 1.4 7.3 2.6 4.6 1.6 1.0 60.3 25.8 19.9 92.2 21.6 106.9 38.3 6.6 1.3 1.5 .7 101.8 37.7 82.4 154.5 3.4 5.8 .7 .1 79.6 148.8 20.6 11.1 1.6 1.8 .2 .4 19.2 9.7 NOTE: Details may not add to totals due to rounding. 1972-85 midpoint employment................................................... 404,750 1972-85 midpoint annual average separation rate........................................................................ 0.8962 percent 1972-85 annual average separations.......................................... 3,600 Supply Estimates The supply estimates are based on the Office of Education’s projections of earned doctorates devel oped in 1973.9 Based on historical data from the Doctorate Records Files, the projected number of new doctorate holders who are expected to leave the United States to work for foreign employers was subtracted. Increments, by field, have been added to represent immigration of doctorate holders from foreign universities. The distribution of immigrants for 1972-85 was assumed to be the same as for 1932-72 (table A-6). 8For a further discussion of separation rates, see Tomor row’s Manpower Needs. 9Projections of Educational Statistics to 1982-83, 1973 Edi tion (U.S. Department of Health, Education, and Welfare, Office of Education). Projections for 1983-84 and 1984-85 are from unpublished materials made available by the Office of Education. BUREAU OF LABOR STATISTICS REGIONAL OFFICES Region I 1603 J F K Federal Building Government Center Boston. Mass. 02203 Phone: (617) 223-6761 Region V 9th Floor Federal Office Building 230 S. Dearborn Street Chicago , III. 60604 Phone: (312) 353-1880 Region II Suite 3400 1515 Broadway New York. N.Y. 10036 Phone: (212) 971-5405 Region V I Second Floor 555 Griffin Square Building Dallas, Tex. 75202 Phone: (214) 749-3516 Region III P.O. Box 13309 Philadelphia. 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