Level Of Education Expenditure Research Articles

EDUCATIONAL COMPONENT OF HUMAN POTENTIAL: FINANCIAL-STATISTICAL AND LABOR PERSPECTIVES

L. Halkiv L. Halaz M. Bihus 1Lviv Politechnic National University 2Lviv Polytechnic National University 3Ivan Franko National University of Lviv, Department of International economic and Investment Activity Purpose. The purpose of this article is to improve theoretical, methodological, and applied foundations of the study of the educational component of human potential. Design/methodology/approach. Scientific works of domestic and foreign scientists studying issues related to human potential, labor market, and education financing, as well as official statistical data that characterize these issues, formed the information, theoretical, and methodological basis of the study. To achieve this purpose, the article uses a set of scientific methods that have ensured conceptual integrity of the study, in particular: the method of theoretical generalization and the abstract method were used to systematize scientific results and formulate conclusions; the method of structural analysis was used to study education costs in terms of individual components; concentration and differentiation analysis was used to study distribution of costs of financial agents; dynamic modeling was used to build trends in the number of educational institutions, the number of students, and the total cost of education; the tabular method was used for a compact representation of quantitative indicators; the graphical method was used to visualize the results of the study, etc. Findings. The functioning of the country's education system has a decisive influence on the quality of human potential. Graduates who complete a higher education program are more likely to work in knowledgeintensive jobs and earn higher salaries. Workers with higher education are usually more likely to be formally employed and less likely to lose their jobs. Effectiveness of the education system depends on its financing. The results of the analysis of data on expenditures on education in Ukraine indicate the following patterns: most funds are allocated for educational services provided by higher education institutions, for the first stage of secondary education and primary education; private firms and corporations most often allocate their funds for post-secondary education; the share of state institutions among financial agents carrying out activities in the field of education reaches about 90 %; the maximum costs of the public sector are observed at the ISCED 0-3 educational levels; the network of institutions and the contingent of students receiving vocational, technical, and higher education are decreasing; there is a declining trend in the level of education expenditures in the Consolidated Budget expenditures. The rise in the price of educational services against the background of an unbalanced labor market leads to a loss of knowledge; additional retraining expenses; increase in social benefits. Practical implications. The materials presented in the article can be useful to representatives of institutions and scientists whose activities are related to the financing of education and the labor market. Originality/value. In the article, the author. The level of education of an employee is considered as one of the components of their potential. This component allows an employee to compete successfully in the labor market. In Ukraine, financial resources of the population cover more than 30 % of doctoral studies and their equivalents, as well as about 25 % of expenditures cover higher education. Given the spread of poverty and the weakening of state support for higher education, Ukrainians will face the problem of the provision of financial support for universities.

The Domestic Investment, Local Government Revenue and Government Expenditure in the Education Sector

This research aimed to analyze the effect of domestic investment and local government revenue toward government expenditure in the education sector. This research uses secondary data obtained from Central Bureau of Statistics in Indonesia and Local Educational Balance-Departement of Education and Culture. The analysis technique used is panel data regression analysis with cross section 34 provinces and time series for 2014-2017. The results showed that partially, domestic investment and local government revenue had a significant affect on government expenditure in the education sector. Meanwhile simultaneously, it shows that domestic investment and local government revenue had a significant affect on government expenditure in the education sector. These findings indicate that the level of education expenditure can be influenced by both domestic investment and local government revenue.

Institutional Structure and Education Spending

This article provides an empirical comparison of the level of education spending under three different institutional structures of spending control. From least to most centralized, these are local control of spending with overlapping Jurisdictions, local control with nonoverlapping jurisdictions, and state (or provincial) control. A model of education expenditure determination under each regime is derived and estimated (using Canadian data), and spending levels under the three regimes are simulated and compared. The results indicate that spending behavior differs significantly across regimes and that the institutional structure ofspending control is an important determinant of the level of education expenditures. The local control regime with nonoverlapping jurisdictions yields the lowest level of total education spending, but the provincial control regime has the lowest operating expenditures. The local control regime with overlapping jurisdictions has the highest level of both total and operating expenditures. These results suggest that the relationship between decen tralization and spending is not necessarily monotonic.

3.3 The Level of Educational Expenditures in Our Country

Educational expenditures generally refer to the educational operating expenses together with the investment in capital construction for education. The level of educational expenditures is used mainly to measure the degree of effort made by a given country in developing its education and whether these expenditures are commensurate to the financial ability of that country and to the scale and rate of the development of its education. Over a period of time, the level of our educational expenditures has caused concern among various quarters and given rise to extensive studies and debates. But because differing data have been used in the various studies, the indicators are used with differing specifications. Perceptions and conclusions are yet to converge. Hence it is difficult to make an accurate estimation of the relative size of our educational expenditures in the national economy. Therefore, we must study and learn anew the actual level of our educational expenditures based on discussing the feasible indicators for comparison, defining the concept and scope of educational expenditures, and carefully analyzing the actual financial resources of our country.