I think the premise that professional salaries are determined entirely or even primarily by supply and demand is weak. When you can't measure a workers quality easily, all sorts of other issues influence salary.<p>I think the more interesting question is: how much higher can programmer salaries go if they play their cards right? Programmers seem to have positioned themselves as a step above IT. But there is money in perception and the perception you want is to be just a notch below the "real men" (execs). This is particularly true in places that aren't software houses, but have programmers internally. What's important is not just supply and demand, but the perception that quality matters, as well as having easily digestible signals of quality.<p>Compare programming to accounting. I don't think the intellectual horsepower necessary for the two jobs is that different. But accountants at big companies make more money, and external accountants at accounting firms make even more. Why? The demand is obviously there--everyone needs accountants. Supply is limited--accounting takes some mental horsepower. The same things are true for programming. Do what's different? The difference is that there is a perception that quality matters, and there are proxies for quality (association with a big firm, education, CPA) that are easily digestible by C-suite execs. Companies don't cheap out on their accountants or their lawyers because there is a perception that executives will be held accountable if the company suffers problems related to that choice. But companies aren't afraid to cheap out on programmers. If a project fails or is late, there is a perception that that's just how software goes, no decision they could have made could have changed the outcome.<p>I think programmer salaries are going to continue to go up. First, Google and Amazon, etc, are creating a perception that quality matters. They aren't hiring the cheapest people they can get. Second, the next generation of F500 execs will have grown up with their friends taking a gig at Facebook instead of going to Barclays or McKinsey. That's extremely important for the profession. Programmers want the industry to be seen as being in competition with banks, consultancies, etc, for "talent." Third, I don't think supply is going to expand, and I feel like industry groups may move to create certifications (rigorous ones like CPA or Series 7) to create indicia of quality.