Compulsion, Craft, or Commodity? Education Services Trade in the Larger Context

Abstract

The role of education in fostering economic growth and social development is universally recognized. Although history places the provision of education firmly within national control, countries increasingly search outside national borders for alternative distribution frameworks. Tellingly, the World Trade Organization recently included education as service trade sector in the General Agreement for Trade in Services (GATS) negotiations. Such activity increases debate about control as countries struggle to create policies that balance nationalism with economic responsiveness. This study employed multivariate data to question whether trade openness in 162 countries was associated with openness to trade in education, and whether countries' commitments to lower barriers to education trade paralleled the strength of their commitments to lower barriers to all trade. Among the findings were the following: (a) On average, countries with education commitments experienced slightly higher levels of general trade openness than those without education commitments; (b) in lower-middle-income countries, education trade openness and general trade openness were positively related; and (c) when controlling for education, population, geography, and income, lower levels of education trade barriers were the single best predictor of countries' having made education commitments under GATS. A model for systemic improvement in education trade policymaking is also presented.