Education Economic Growth Research Articles

The role of education in economic growth - an analytical study of the reality of higher education in the Kurdistan Region of Iraq

The role of education in economic growth - an analytical study of the reality of higher education in the Kurdistan Region of Iraq

The Role of Education in Economic Growth and Breaking the Chain of Poverty in Indonesia

This research explores the crucial role of education in improving the quality of human capital and overcoming poverty in Indonesia. Inspired by literature that emphasizes the complex relationship between education, income inequality, and economic growth on factors affecting poverty, including education, health, and internet access. Key findings show that education, especially high, has a significant positive impact on well-being, with every 1% increase in education contributing to a 1% increase in well-being, a 1% significance rate. Policy recommendations are given to governments to increase investment in education, achieve sustainable economic growth, and reduce poverty rates. Although 20% of the state budget has been allocated to education, challenges remain in providing equitable and quality education across the region, affirming that investment in education is an effective strategy to achieve inclusive and sustainable development.

From Policy to Practice: Evaluating the One-Year Outcomes of Moldova's Higher Education Reforms

The article critically evaluates the outcomes of the ambitious higher education reforms initiated in Moldova in 2022, with a focus on their impact on the national higher education system. Recognizing the pivotal role of higher education in economic growth and societal well-being, the reform aimed to elevate academic standards and align Moldova's higher education system with European norms. The evaluation employs a mixed-method approach, integrating a comprehensive review of government reports, policy documents, academic literature, and primary data from stakeholder interviews. This methodological framework enables an in-depth examination of the reform's key components, objectives, and its impact on the structure, content, and quality of higher education and research in Moldova. Although the reform has streamlined academic processes and achieved partial alignment with European standards, significant challenges persist, including declining student numbers, demographic shifts, migration, and an aging academic workforce. The analysis reveals that despite some positive gains, the reform falls short in addressing broader systemic issues, such as declining enrollments and the aging faculty dilemma. The outcomes of Moldova's higher education reform underscore the necessity for continuous monitoring and dynamic adjustment. The study proposes two main avenues for ongoing change: the development of highly specialized universities or the further consolidation of the higher education system into a single public university in Moldova. These suggestions aim to address the identified challenges, ensuring the reform's long-term success and sustainability.

The Role of Education in Economic Growth: An Exploratory Literature Review

Human capital occupies a leading position in economic development and determines the importance of education as a system responsible for its production. Attention has increasingly been paid in recent years to the role of education in the economic growth of countries. Researchers began to study the impact of education on economic growth in the 19th century and continue to this day. Hence, the growth in the number of publications and scientific studies studying the importance of education in economic growth actualizes the need to use bibliometric analysis methods to identify patterns and trends studied by scientists from various countries around the world. The article examines the works of economists who formulated theories emphasizing the importance of education for economic development. This study reviews scientific works to determine the underlying concepts in the field of the role of education in economic growth. The purpose of this research is to analyze the structure and dynamics of academic research aimed at studying the role of education in economic growth. A bibliometric analysis of the literature was carried out using the VOSviewer software. The sample consists of 2,432 publications from the WoS database. A result of the analysis is a compiled bibliometric map of five clusters. The research outcomes apply to both local higher education establishments and governmental bodies responsible for state educational oversight.

The Role of Higher Education in Economic Growth in ASEAN: Systematic Literature Review

The Role of Higher Education in Economic Growth in ASEAN: Systematic Literature Review

The Impact of Education System on Economic Growth: An Empirical Evidence from Developing Economy

The role of education in economic growth levies a massive impact on the economic growth of developing countries. This study has investigated the outcome of the education system on economic growth in the context of Pakistan. This study has also considered the literacy rate, labour force, consumer price index and unemployment for analyzing their shade on the growth of our country. The gross domestic products of the country have shown dependency in our model. In the light of regression analysis, results are helpful for a literature review that illustrates that role of education positively affects the growth of a country and freedom of economy is a sophisticated way to check the prominence of the growth of the economy.

The Effect of Government Expenditure on Education on the Enrollment Rate of Different Educational Levels in Selected OECD Countries

One of the most important factors in economic, social, and cultural development is to create a development plan to acquire knowledge, and govern the spirit of learning in the society, leading to the strengthening of human capital, and increasing the quality of the educational system in accordance with the needs of economic, and social development.
 Regarding this, and also based on the recognition of the importance of education in economic growth, economists, and economic development planners have paid special attention to the basics of resource allocation in the education sector.
 Therefore, according to the fact that government expenditure on education can be an effective factor to encourage people to acquire knowledge, and improve their level of education, and on the other hand, based on the fact that the improvement of people's level of education in the society shows the increase of human capital in the country, which itself has a positive effect on the economic growth of the country, and the inequality reduction, this paper aims to investigate the effect of government expenditure on education on the enrollment rate in different educational levels in selected OECD countries from 2010 to 2019.
 The results show that the effect of all coefficients of the variables is expected based on the theoretical foundations, and the government expenditure on education has a significant positive effect on the enrollment rate in the primary, secondary, and tertiary levels.

Evaluating the total-factor efficiency of E3 in oil-producing countries, with emphasis on education.

Global warming is one of the greatest challenges of the contemporary world. Overcoming this problem requires a global determination in energy management and a significant reduction in the use of fossil fuels worldwide. The objectives of this article are to investigate the role of education in economic growth and to evaluate the total-factor energy, economic and environmental efficiency (E3) of oil-producing countries and productivity changes between 2000 and 2019. These countries were divided into two categories of middle- and high-income ones. The panel data model was used to estimate the role of education in the countries' economic growth, and the data envelopment analysis (DEA) method was used to measure their total-factor efficiency (E3). The findings indicate that education has a positive role in economic growth. In general, Norway proved to be efficient in all indicators of e1, e2, e3, and E3. The worst performance in e1 belonged to Canada (0.45) and Saudi Arabia (0.45); in e2, to Algeria (0.67) and Saudi Arabia (0.73); in e3, to the USA (0.04) and Canada (0.08); and in E3, to Canada (0.46), Saudi Arabia (0.48), and the USA (0.64). The average total-factor efficiency of all indicators for the selected countries was low. Average changes in total-factor productivity and technological changes for all the selected countries had decreased in e1 and e3 but improved in e2 and E3 during the studied period. The changes in technical efficiency also decreased during the period. Moving towards a low-carbon economy, developing creative and environment-friendly technologies, more investment in clean and renewable energy, and creating diversity in production, especially for OPEC and countries with single-product economies, are some of the ways suggested for improving E3 efficiency in the countries.

THE EDUCATIONAS A DETERMINANT FACTOR IN ECONOMIC GROWTH. THE ECUADORIAN CASE (1960-2019)

This paper studies the factors driving the Ecuadorian economic growth through the analysis of the education relevance measured as human capital for the period 1960-2019. By providing a characterization of the business cycle in Ecuador we were able to describe the economic growth trend, cyclical component and also the expansions and recessions periods. To this end, we also analyzed the labor share in the economy to observe the evolution of human capital importance in the income distribution.
 
 Secondly, a multiple regression model was designed to quantify the correlation between the economic growth rate and the evolution of human capital. The main findingsare that human capital and commodity prices have been relevant in explaining the economic growth, i.e., are the main source of increase in the GDP. To complement the analysis ant to stablish the importance of public policies for the betterment of education, a theoretical framework was designed to identify how the government spending and investment in education contribute for the human capital to increase over time.The results show that both government spending and investment are strongly correlated to increases in human capital index.
 
 Finally, we performed a statistical growth accounting exercise to quantify the relative importance of the different factors explaining output growth: inputs accumulation (extensive growth) and technological progress (intensive growth). By decomposing the labor between increase in workers and improving of human capital human capital we can isolate the effects of education in economic growth.
 
 Thus, for the period 1960-2019, for the Cobb-Douglas aggregate production function the average contribution of capital and labor were1.66%and 1.53% respectively points to the average annual output growth of 4.04%, whilehuman capital is accountable for 0.43%.It is also noticeable that TFP has been responsible for 0.40%, almost the same amount of the human capital. On the other hand, the augmented production function indicates that the isolated contribution of human capital was 0.25, while capital and labor were 1.14% and 1.26% respectively.The results obtained confirm the importance that the accumulation in physical capital and employment had played in explaining per capita output growth during the last decades, whereas the contribution of total factor productivity has been more modest. Human capital has also been a relevant factor in explaining the evolution of production, precisely because it is a developing economy that started from lower levels of human capital.

Academic Research on the Importance and Place of Education in Economic Growth and Development Plans in Turkey

Academic Research on the Importance and Place of Education in Economic Growth and Development Plans in Turkey

SUSTAINABLE DEVELOPMENT AND MODERN CHALLENGES OF HIGHER EDUCATIONAL INSTITUTIONS IN THE REGIONS OF GEORGIA

Natia Tsiklashvili 
 Batumi Shota Rustaveli State University
 Georgia
 https://orcid.org/0000-0003-0638-7376
 
 Tamari Poladashvili
 Batumi Shota Rustaveli State University
 Georgia
 https://orcid.org/0000-0002-7597-7997
 
 Purpose: Education is one of the fundamental factors of economic prosperity in all respects. It is impossible to talk about the sustainable economic development of the country without substantial investments in human capital and investment into higher educational institutions. Education improves the standard of living of the population and expands the opportunities to receive more benefits, which will be equally important for both the individual and the society as a whole. There are growing initiatives among educated people such as entrepreneurship, technological development, etc. At the same time, the distribution of income between population groups is improving. The given paper discusses the scientific literature in the field of sustainable development through higher educational institutions. Scholars of economic theory emphasize a few major aspects that show the role of higher education in economic growth: Alongside education, human capital gradually increases which leads to increased competitiveness of the labor force, not only in the national but also in the international labor market (Neoclassical growth theory). The high level of education can increase the efficiency of the economy, investment in human capital, innovation, and knowledge are significant contributors to economic growth. Hence, it focuses on positive externalities and spillover effects of a knowledge-based economy which leads to economic development (endogenous growth theory). Education can facilitate the diffusion and transfer of knowledge. Hence, it supports macroeconomic sustainability and the economic conditions of individuals.
 
 Methodology / approach: To address the local issues, the present article researched ten educational institutions across Georgia, including state and private HEIs. Qualitative research was done by analyzing in-depth interweaves of representatives from each institution, and respondents were rectors/vice-rectors/heads of quality assurance service at the institute.
 
 Results: The result shows that there is a number of challenges that institution face in order to maintain sustainable development and be strong links to education and the labor market. Mostly it’s connected with bureaucracy, insufficient finances they receive, and local challenges that differ across the regions.
 
 Originality / scientific novelty: The article identifies components hindering the sustainable economic development of higher educational institutions of Georgia.
 
 Practical value / implications: For the sustainable economic development of universities and educational universities located in the regions of Georgia, we have developed recommendations and proposals that will significantly improve their current situation.
 Key words: Higher education, sustainable development, higher educational institutions.

Higher education as a determinant of sustainable development

The purpose of the article is to study higher education using a systemic approach as a determinant of sustainable development. To achieve the goal, the scientists substantiated the main features of higher education as a system;identified the main prioritydirections in the field of higher education in a time frame;outlined the functions of education in the modern development of society;highlighted the role and principles of higher education in economic growth;substantiated the relationship and development trends of higher education with the goals of sustainable development in the direction of solving global problems of humanity.The methodological basis of this study is a systematic approach, which allows us to consider higher education as an open socialsystem with multi-vector and heterogeneous connections between elements, which has an interdependent impact on sustainable development. Taking into account changes in trends and priorities of the world economy, changes in the emphasis of higher education are highlighted. It has been studied that higher education ensures the development of the intellectual potential of the human community, contributes to the achievement of the goals of sustainable development and the consolidation of certain moral principles.

Economic growth, energy consumption and environmental degradation nexus in heterogeneous countries: does education matter?

BackgroundEnvironmental concerns are growing globally. The world has suffered severe environmental deterioration over the years. Undeniably, the impact of environmental degradation on the earth’s geographical space is alarming, making environmental stakeholders to be worried. Existing literature has examined several factors affecting the environment, but the focus has now shifted to education and the need to maximize its potentials. Although studies have examined the direct impacts of education on the environment, those investigating its moderating role are relatively new and scarce, particularly across income groups. Understanding the channel through which education might affect the environment requires the knowledge of its moderating role. Therefore, this study employs FMOLS, DOLS, ARDL-PMG, CCEMG and heterogeneous panel causality test methodologies to investigate the direct and moderating effects of education in the growth-energy-environment linkages in heterogeneous income groups of 92 countries from 1985 to 2018.ResultsThe findings of this study indicate that economic growth is a long-term solution to environmental deterioration in high and upper-middle-income countries, while the opposite holds for lower-middle-income and low-income countries. In addition, energy consumption is linked with environmental degradation across all income groups. Also, the study finds that education’s direct effects aggravate environmental degradation across all income groups. Moreover, its moderating role ameliorates the adverse effects of energy consumption on environmental degradation in high and upper-middle-income groups but worsens it in the lower-middle-income and low-income groups.ConclusionThis study examines the role of education in economic growth, energy consumption and environmental degradation nexus. The study concludes that education is important for environmental sustainability as it encourages pro-environmental behaviors and attitudes and supports energy-efficient products and investments in green technologies. However, education may also aid energy-intensive activities and dirty technology by supporting lifestyles that are not eco-friendly. It is important, therefore, to provide education that promotes better environmental quality.

Empirical Analysis of the Impact of Education on Economic Growth

Education is a crucial factor for sustainable economic growth. Therefore, public expenditures on education are of great interest to both researchers and policy makers. The channels through which education affects economic growth differ according to the level of development of the country. This study aims to measure the impact of public expenditure on education for economic growth in North Macedonia. The data used are secondary data derived from the World Bank Indicators for the period 1917–2020. The econometric model employed in this study is an Instrumental Variable Two-Stage Least Square. The dependent variable in the model is Gross Domestic Product and the independent variables in the model are public expenditures on education, labor force participation rate, gross capital formation, unemployment, industry, wages, employment, information, and communication technology, and the instrumented variable is tertiary enrolment. This study suggests that a one-point increase in public expenditures on education will positively affect economic growth in the North Macedonia. The study also shows that a one-point increase in unemployment will increase economic growth and a one-point decrease in employment will increase economic growth in North Macedonia. These two results, which contradict the theoretical and empirical approaches, prove the mismatch between the supply and demand of real occupations in the labor market in North Macedonia.

The OECD and technical education in post-war Mediterranean Europe

ABSTRACT The role of international organizations in fostering the evolution of education systems worldwide emerged in the 1950s, and the OEEC-OECD, in particular, contributed to shaping the so-called ‘education-economic growth’ paradigm. First, its education agenda was the push to spread technical and vocational education, being one of the key means for preparing citizens for modern society in a Cold War context. In addition, the spread of these relevant skills provided solutions to actual problems that affected the less-developed Western European countries. Consequently, Mediterranean Europe became a laboratory for new visions and practices for development. In the educational field, these countries were an ideal environment to observe the changes underway and, above all, evaluate the actual outcomes of these early programs.

An analysis of the relationship between education and economic growth

Education is the basis of economic development. The coordinated development of education and economy is divided into two levels: Theory and practice. At the theoretical level, it mainly discusses the prospect relationship between education and economy, including the coordinated development of education and economy, and the implementation of education and economic development. The practical research takes a specific region as a case to analyze the current situation and trend of the coordinated development of education and economy in the region, sum up the experience, find out the shortcomings, so as to draw up the coordinated development countermeasures. This paper analyzes the relationship between education economic growth and coordinated development, which can provide reference for the future development of education and economy in China.

Role of Education in Economic Growth of Pakistan: A Sectoral Analysis

Education and economic growth nexus is one of the abundantly researched topics in economics. The social returns of education in addition to its private returns makes it public good and justifies the use of public funds. While most of the studies conclude the positive relationship between the two, examples also exist of the negative relationship. However, there is a gap in the literature to find and compare the effect of education on the growth of agriculture, industry and services sector separately. This paper is particularly aimed to analyze the impact of different levels of education of employed persons on level and growth of national output, agriculture, industry & services sector output in Pakistan. The method of analysis is the autoregressive distributed lag model (ARDL). Each level of education is found to have a positive effect on the output per employed person both in the short-run and long-run except for agriculture sector. In the agriculture sector, each education level is negatively associated. The deeper analysis showed that the greater negative effect of employment evades the positive effect of education in the agriculture sector. The comparison of different sectors shows that primary education contributes more to the industrial sector. While the contribution of the secondary & tertiary education is highest in the services sector.

Health, Education and Economic Growth Nexus: Evidence from Middle Income Countries

Health and education are indispensable factors for economic growth. This study examines the role of health and education in economic growth for 76 middle income countries during 1991-2016, using fixed and random effect approaches. The empirical findings demonstrates that a progressive link among life expectancy and economic growth while inverse association exists between infant mortality and economic growth. The outcomes of FE and RE models stated that secondary and tertiary level education contribute to increase in economic growth. The results also shows capital's encouraging impact on growth, while the labor has negative influence to economic growth. The impact of life expectancy, infant mortality, enrollment in secondary and tertiary education on economic growth is stronger in upper middle income countries (UMIC) with comparison to lower middle income countries (LMIC). The study recommended that economies should focus on education and better health facilities towards betterment especially in lower income states.

Tracing Young Women's Career Aspirations From Junior High School into College

We have heard the claim that the United States needs more scientists, mathematicians, and engineers tocompete in world markets (National Commission on Excellence in Education, 1983; National Science Board(NSB), 1993, 1998, 2004; National Science Foundation (NSF), 1994, 2001; Task Force on Education forEconomic Growth, 1983). The intensity of such claims increased with the realization that the majority of theworkforce would be women and minorities, who traditionally have not pursued such careers (Bae & Smith,1996; Johnson & Packer, 1987; NSB, 1998; Oakes, 1990; Stumpf & Stanley, 1996). The NSB (1998)predicted a 44% increase in science and engineering (S&E) occupations from 1996 to 2006. However,women constituted 22% of the S&E work force in 1995 and 25% in 1999 (NSB, 1998, 2004). The largestpercentages of women were in the biological sciences (40%) and mathematics/computer science (33%),with much lower percentages in physical science (22% to 23%) and engineering (9% to 10%) (NSB, 1998,2004).

The Influence of Higher Education Development on Economic Growth: Evidence from Central China

The modernization of central China may highly affect the overall well-off society in China. Meanwhile, higher education plays a prominent role in determining the competitiveness of a country or region. Hence, how to bring the promotional role of higher education in economic growth of central China into play has become a focus for the government and the academia. Under this circumstance, this paper develops a comprehensive index of education and then employs the panel data model to investigate the influence of both higher education scale and quality on economic growth in the six provinces of central China from 2003 to 2014. The empirical results show that the contribution of higher education to comprehensive education level in the six provinces was all <1% within the sample period, and its contribution to economic growth was <5%, far lower than that of basic education to economic growth. Moreover, in general, higher education scale exerts significant positive effect on economic growth in central China while the effect of higher education quality appears insignificant. In addition, technological innovation plays a remarkably positive role in economic growth of all the six provinces in central China.