2.1. Theoretical Framework and Background
The debate regarding the effectiveness and financial gains of education, which are expected from this process, can be carried out on several levels of discussion, involving a series of policies. The benefits as it were, economic and social. How exactly people privately benefit from investing in education is one thing. How the education level, field of study and individual background affect the returns represents another important aspect. And, furthermore, returns should be considered, as they change over time, and how they vary from country to country. A year of extra education may have a significant effect, or it might not have any at all. An extra year of forcing potential dropouts to keep attending school may help returns, or it might do more harm. As confusing as it may sound, there are those who worry about the “social benefits” of education, otherwise known as social rates, or externalities (Brewer and McEwan, 2010).
Thus, there is the ever present dilemma of whether or not education helps a society more than ingrained time-management skills, motivation or self-taught ability. After all, there are many things that standard, average education does not teach, certain habits that people only gain from their own decisions or lifestyles. Add to that, factors like credential effects, ability bias and measurement error, as well as financial constraints, and there are many ways for a research into this matter to go astray. There are many tangents and equally many opportunities to get something wrong. Several authors (Brewer and McEwan, 2010; Johnes and Johnes, 2007) have tried to address some of these methodological and practical questions.
From the 1950s there have been estimated returns ...
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...s of the process of education, both from an individualised and a global point of view, have never actually been researched properly, not as a unit. There is no comparison between the two. It is a fairly large blind spot, and makes it hard to figure out if the macroeconomic gains are as good as the microeconomic gains on education (Psacharopoulos and Patrinos, 2004). The logical answer would be “yes” if the difference in investment capitals and risks at the higher levels of the economy were not so different. Therefore, one direction of the conclusion would be that further and deeper investigations regarding the social advantages of education emerge as a necessity, since investment and reform financing mechanisms will not invent themselves. And developing countries need clear evidence that school will help them earn a better living (Psacharopoulos and Patrinos, 2004).
They go on to say, "While the average return to obtaining a college degree is clearly positive, we emphasize that it is not universally so. For certain schools, majors, occupations, and individuals, college may not be a smart investment." (page. 209 Para. 1). This applies more to older students rather than students who are fresh out of high school. One of the main reasons the return rate is greater is because most of these students who are already working need more education in order to further themselves in their workplace. The authors also add that "The main problem is one of selection: if the smartest, most motivated people are both more likely to go to college and more likely to be financially successful, then the observed difference in earning 's by years of education doesn 't measure the true effect of college." (Page 209, Para #2). This means students who do not take advantage of all that college has to offer are not really getting the full experience. Why not invest in four years and come out with the opportunity to make more money? Some students want to go ahead and get school out of the way. Furthering education accumulates lots of debt. Some student 's choose not to overwhelm themselves with those costly decisions; they want to get right to work. Owens and Sawhill provided enough information on how logical it is to attend
In the sense of utilitarianism this outcome would be in consideration of the greater good for the entire population. Also, by having more affordable education it would not only benefit the parents who continue to support their children, but would give those who are less fortunate an opportunity to learn and grow as an intellectual. Furthermore, it provides a higher percentage of the population a chance to obtain a higher form of education which would expand the spectrum of professions that are current. For instance, as of now only 65.9% of graduating high school students are enrolled into college the following school
Our world is energized with constant demand and supplies. Education is no exception. Government demands that children in a specific age group should have school exposure. To this end, the public schools offer subsidies to increase the 'supply' of students (i.e. to attract more students into education). However, the same application of subsidy to private schools does not yield practical intended results as private school education is mostly by choice and does not come under the direct impact of demand and supply, as we will see it. The argument that government should eliminate subsidies to the private schools, is therefore, reasonable. We will discuss why.
Many people believe that “having an economy that places a greater value on skills and education is a good thing” and that is the thing that is needed to improve people’s lives and futures (Baicker, Lazear). If what our economy is trying to do a good thing they why are so many students still suffering? The main issues are the low-income education that many students have. Many schools are getting money from the government but that is not enough to pay for everything students need. Educational standards have continued to increase throughout the years but that does not help the students who are unable to pay for the better education. These students who cannot pay for the better education are stuck barely getting by with a low education. A low-education can affect many areas of regular schooling. The students who are at low-income schools do not know what type of disadvantage they have compared to other students across the country. These students believe that they are getting the best education, but there are many students who are getting a better education at a school that has the funds to pay for everything their students need. Low-income students are suffering due to the environment they are in at school and they continue to suffer throughout their life due to it. These students will continue to suffer unless something is done about the low-income schools and improve them for the future. Improvement has to come from all areas, not just one aspect of schooling but from all aspects. Although education has improved along with technology many low-income students still suffer from the vast inequalities. These inequalities will take many years to find a way to fix and even more years to actually fix, until this happens the students will...
In order to break through the status quo of poverty for generations, there needs to be more efficiency on education. In our current society, establishments would rather hire someone who well qualified with college degree rather than just a high school education. For our modern day survival we need education because it will give up opportunities and help we need to become successful. The higher a person educational degree the more invested opportunity to move up in the ranks in our
This article discusses the increase in students completing high school and going on to college some of whom obtain a degree while others do not. He also discusses the correlation between the amount of college education and unemployment. He concludes with statistics showing that a college education does pay off if the person has the academic capability to obtain a degree. This article will help me to show the benefits of college for certain people. It will allow me to show that a four year degree is not the best option for everyone.
Education has always been in existence in one form or another. As each child is born into this world regardless of who or where they are born, life lessons immediately begin. He/she will learn to crawl, walk, and talk by the example and encouragement of others. Although these lessons are basic in the beginning they evolve as the child grows. However, the core learning method of a child does not change. Learning from others, they will watch, listen, and then act for themselves. Thomas Jefferson believed that an education would lead men and women to the ability to be self-governed and become positive contributors to society (Mondale & Patton, 2001). Today, we can see how true this is by the examples of others. Those that are given the opportunity for education are more likely to find jobs and develop skills that not only improve a community, but influence the economic growth of their nation (Ravitch, Cortese, West, Carmichael, Andere, & Munson, 2009, p. 13). On the other hand, if an education is not provided to individuals, they can become a hindrance to that nation’s growth.
Rouse, C.E. (2007). Qualifying the Costs of Inadequate Education: Consequences of the Labor Market. In C.R. Belfiels and H.M. Levin (Eds.), The Price We Pay: Economics and Social Consequences of inadequate Education (pp. 99-124). Washington, DC: Brookings Institution Press.
This is only taking into account the savings from people that graduate from high school. Not to mention there are also huge financial gains by paying people to get good grades. High school and college graduates are more likely to contribute to the national GDP and less likely to rely on social welfare programs. These savings are fantastic.
People have very different reasons on why going to college and getting an education is important for them. Some people go to college because that is what is expected of them, and others go because they have nothing else better to do. However, I am interested in going to college and obtaining a good education because it will benefit my family, my country, and me.
... sums of money that could be spent on education to debt repayment. Structural adjustment makes the problem worse, as the IMF demand government spending cuts and privatization measures in education. What money remains for education goes to primary schools, with education beyond elementary levels shifting to a fee-for-service basis. In Mexico, the Bank advised the government to abolish constitutionally guaranteed free education at the national university, provoking a lengthy student strike. The rich get an education. The poor get sweatshop jobs.
It is noticeable that the system of education is changing from time to time based on financial issues and how the world is growing. In the past, individuals taught the education system from the oldest member of the family to children, and their members were charging fees from the families that sent their children to them. Which meant that education was an important thing in all ages. Nowadays, the education is shaped to an official system run by professional people in governments and many countries invest high amounts towards education which makes evidence of how important it is in our current life. Every country has a different system of education based on their financial stability, government infrastructure and the standard of the government officials. It is noticeable that there is a big difference between the education in developing countries and the prevailing system in developed countries .In my essay I will discuss some reasons for these differences...
O’Dubhslainé, A. 2006. The White Paper On Education: A Failure To Invest. Student Economic Review. 20 p 115
According to the text, public benefits of investing in higher education are less widely recognized. It also says according to Friedman, there is no evidence that higher education yields social benefits to higher education may promote. Some of this research was done in the last 1980’s so I disagree with its findings. Schooling is important and just as Shrivastava and Strivastava, discussed universities and colleges form the overall societies and nations. It gives policy directors to lawmakers that have little to no knowledge about some of the issues that are specific to our
Education plays a vital role in shaping tomorrows’ leaders. Not only can we become a better nation by acquiring the skills necessary to be productive members of a civilized society. Increase knowledge to actively achieve and meet challenges that can produce changes in which are productive for attaining business innovations, political and economic objectives.