What is the appropriate start?Every year thousands upon thousands of graduates enter the workforce eager to start working. However, most people are faced with a major dilemma: What is a reasonable starting salary? With workforce dynamics constantly changing and organizations beginning to experience a shortage of skilled labor, new graduates face a multitude of factors when entering the workforce. How does a graduate measure his value on the market? The following document analyzes the various components and complications of compensation packages for new graduates. Recently, numerous national reports have highlighted increases in starting salaries for college graduates. According to a Spring 2007 survey conducted by the National Association of Colleges and Employers (NACE), starting salaries for Spring 2007 graduates continue to increase (p.1). These starting salaries reflect the growing demand for new graduates. This is a trend that has been witnessed by several recent graduates. Deshundra Jefferson (2006) reported that computer science and engineering majors in the class of 2004 increased by 4.1% and 0.3%, respectively (Jefferson, 2006, p. 1). Law graduates can expect to see starting packages of between $180,000 and $200,000 from top law firms in some cities (Bower, 2007, p. 15). A survey of starting salaries in the UK also reported a 2.9% increase to an average of £23,136 (People Management, 2007, p. 11). Increasing salaries is a noticeable trend across the board and there are numerous factors that lead to these attractive packages. One particular profession that has seen the benefits of increased salaries is the lawyers' pool. Freeman (1975) pointed out that the salary of lawyers is inversely related to enrollment. He also mentioned how the market for law school graduates has a spiderweb pattern, with consistent fluctuations in enrollments in law programs (Freeman 1975; Rosen, 1992). Freeman's theory accurately describes the explanation behind the current increase in starting salaries of law school graduates. Cleveland State's Marshall Law School has seen an average 20% increase in starting packages for its law school graduates (Crain's Cleveland Business, 2007). The average salary for a law school graduate was $44,500 in 1999 (Ohio Department of Labor, 2000). The high salaries of law graduates can also be explained by rising entry costs. Human capital theory shows that much of the cost of education is the time and effort spent in school. The monetary value of time is measured by the interest rate on other job opportunities that are forgone.