Measuring the Contributions of Education to Economic Development
Measuring the contribution of education to economic development has mainly relied on cross-country estimates of average years of education, which may be grossly inadequate if rates of return to investment in education or the quality of education differ substantially across countries (as they do). Until now, economists have not yet agreed on what is the proper way to measure the contribution of education to the growth of national income.
Most of the empirical work in education has been concerned with its contribution as a whole to increases in national income by means of the approaches which are available in the economic literature.
The Man-Power Requirement Approach
- forecasts the manpower needs of the economy.
The approach focuses on 3 main elements, namely:
1. Specification of the composition of manpower need at some future date e.g. 2015- 2020.
2. Specification of man power availabilities e.g. in 2010.
3. Specification which reconciles the former specification with the later. Advantages of Man-Power Approach
1. Man-Power could usefully call attention to extreme gaps and imbalances in the education out-put pattern that need remedy.
2. It gives educators useful guidance on how roughly educational qualifications of the labor force ought to be developed in the future.
3. The unemployment and underemployment which may result from some over-emphasis on man-power approach may become a challenge to move towards the right kind of education which may be development-oriented, and thereby creating its own job.
Weaknesses of the Approach
1. It gives educational planner a limited guidance in the sense that it does not tell what can be actually achieved in every level of education e.g. primary education, secondary education, etc.
2. Manpower approach suggests the curbing of the expansion of primary education...