Why is education key to international development?

WHY IS EDUCATION KEY TO INTERNATIONAL DEVELOPMENT?
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Abstract
Education undoubtedly stands at the center of every development agenda. From local to regional prosperity, economies invest in quality education for the entire population to achieve the desired developmental goals and achieve international development. This paper discusses the key areas that fundamentally influence development on a global scale. Economic development is critical for any growth in any economy. A quality well-distributed education is required not only for economic development but also for productivity as well as increased per capita income for individual households and nationally. The twentieth century saw an increase in the importance attached to education, attainment of skills and general knowledge. Economies, where the most of the population have received a quality education, are likely to have increased productivity. Increased productivity is the primary driver of development necessitated by education. An economy in which there is a lot of specialization usually gets people going into diverse fields, and that is a huge boon for productivity. The role of education transcends beyond just equipping learners with knowledge. Education plays a vital role in helping to rebuild societies in post-war environments, and that can go a long way in sustaining peace. Education in open competitive markets creates competition and promotes trade that leads to development. Trade is vital to the functioning of any country’s economy as well as that of the globe. It is the means through which countries export and import goods and services as they need to as part of meeting their needs. Education has a marked impact on income and people’s earning potential. We live in a world where income inequalities are the order of the day. Education is associated with increased income equality which then allows for higher rates of growth. Access to quality education raises the standards and quality of living to people, and families; the basic unit of society. In spite of changes that have taken place over the years, the family remains as the foundation of nations and economies. Successful families are also likely to have accessed quality education that opens up favorable future opportunities for development both locally and internationally. Overall, the significance of education to international development cannot be overstated, with great impacts felt across the globe.
Introduction
Education is undeniably a pertinent component for growth and development globally. Education stands as a fundamental aspect that shapes and determines the capabilities of the human race that is credited to development. Investment in education is a critical step in addressing development challenges as well as establishing practical means for achieving developmental goals. On education, Psacharopoulos and Patrinos (2004) “established beyond any reasonable doubt that there are tangible and measurable returns to investment in education” (p. 118). The contribution of education worldwide has been experienced in all circles of human and societal development. Such benefits that education has brought to humanity and the international community includes but not limited to increased wellbeing and access to future opportunities, empowering people for both civil and political participation as well as increasing peoples “to enjoy a full, healthy and productive life” (Verger, Novelli and Mundy; 2012, p.2). Governments, civil societies, NGOs as well as the overall global citizenly are generally focused on the development of ‘quality education for all’ that is undoubtedly fundamental in attaining development both locally and internationally.
Education and Economic Development
Education is indispensable to economic development in any part of the world. A quality balanced education is required not only for economic growth but also for productivity as well as increased per capita income for individual households and nationally. The twentieth century saw an increase in the importance attached to education, attainment of skills and general knowledge. Countries world over adopted the achievement of education as crucial in achieving the determined developmental goals (Psacharopoulos & Patrinos, 2004). The ‘Age of Human Capital,’ as it is commonly referred, the twentieth century marked a global resolution that countries pegged their developmental success to the attainment of skills, education, and knowledge as well as furthering health of the population (Ozturk, 2008). Multiple global conferences have been held stressing the importance of quality of education as a significant contribution to human and general societal development. The conferences, dubbed the World Education Forum [Jomtien (1990) and Dakar (2000)], which involved governments, international NGOs and aid agencies resolved to commit to the provision of quality Education for All (EFA) as means to attaining global development (Verger, Novelli, and Mundy; 2012). The advocacy for quality education unlocked the potential for countries to achieve worldwide development and cooperation.
No country in history has achieved considerable economic development without an equivalent and significant investment in human capital. Increased accumulation of human capital in such areas as primary and secondary education, research and practical skills development as well as aptitude building has shown impressive economic success (Psacharopoulos & Patrinos, 2004). Quality and equal distribution of education are instrumental in determining economic success. The Global Campaign for Education (GCE) is the biggest and most active civil society that advocates EFA (Verger, Novelli, and Mundy, 2012). Unequal quality and distribution of education are responsible for reduced per capita income within the economy. As the adage goes, “a nation which does not educate its women cannot progress.” Equal distribution and quality education is, therefore, part and parcel of achieving economic success both locally and regionally.
Increased investment in human capital through quality education and exposure to competitive and open markets has greater economic impact than education in non-competitive markets and economies. In post-conflict and conflict vulnerable areas, pedagogy development, either through formal and informal education, remains critical in the attainment of economic growth (Mundy, 2016). Through local partnerships and international cooperation, education for all members of society in conflict-prone areas is crucial in rebuilding a stable society and enable economic development (Van der Linden, 2015). The increased growth in human capital is essential in establishing the much-needed framework for economic development.
Education and Productivity
Productivity is a critical aspect that contributes to development. The aim is to grow the returns attained from the factors of production continually. In the quest for higher productivity in the economy, it is important to invest in education. There are various ways in which education can make the economy more productive. First, it can be seen as raising the product of labor (Unterhalter, 2013). By learning, people have the opportunity to specialize in different fields which is desirable as it helps them to focus their energies in areas that bring out the best in them. An economy in which there is a lot of specialization gets people going into diverse fields, and that is a huge boon for productivity.
In a rapidly changing environment, people need to upgrade their skills and knowledge continually. The rapid changes in technology mean that what works today may not work tomorrow. Therefore, the only way to keep people and their ability set relevant is to continually educate them so that they can improve on what they know (Becker, 2009). It is worth noting that the situation today features a knowledge economy in which people are required to be highly skilled and knowledgeable (Said, 2003). Said (2003) further opines that the only way to maintain high productivity levels is to have people with the right skills and capabilities and that is only possible through continued learning. Therefore, education enhances productivity by improving people’s knowledge and skills.
Another critical perspective when assessing the role of education in enhancing productivity is to consider new technology and research and development (R&D). For starters, an educated workforce tends to make people more innovative which then increases everybody’s productivity (Novelli, 2016). Even more interesting is the fact that increased education not only creates an individual more productive but has a knock-on effect whereby people are simultaneously able to increase the productivity of their colleagues even as they improve their own (Psacharopoulos & Patrinos, 2004). The phenomenon comes about as a result of the fact that workers who are more knowledgeable can better apply technology and thus improve the productivity of capital as well as that of labor.
Education and Income
Education has a marked impact on income and people’s earning potential. We live in a world where income inequalities are the order of the day. Education is associated with increased income equality which then allows for higher rates of growth. One of the important aspects of education is the fact that it provides opportunities for many people to make something for themselves (Unterhalter, 2013). This is especially important for poor people who may not have access to other resources that they can use to earn a living. However, they can turn to education as the meant to attain economic power and escape poverty (Githitho-Muriithi, 2010). In any case, people who are educated can find opportunities to work, network, and engage in entrepreneurship.
In economies that are developing, getting more people to participate in the economy is critical. There is always the need to develop a skilled workforce that will then work to grow the economy (Ozturk, 2008). People who are not educated and who lack the skills that are required in the economy may not be able to take their roles in the economy. However, access to good quality education means that more and more people will be able to find good jobs that will help them earn incomes. With more people earning incomes, there is increased consumption power among the consumers (Nussbaum, 2011). Therefore, that results in increased aggregate demand in the economy which then necessitates increased production. Thus, a cycle is then created which sustains economic growth and technological advances that support even higher productivity. Apart from that, a person with more incomes also means that they will save more which helps in the process of capital creation (Ozturk, 2008). The capital formed is then pumped into productive activities that employ more people and create incomes for them.
There is no doubting the role that education can play about income. A study of 18 Latin American countries that sought to find the relationship between education, poverty, and income inequality in the 1980s found that variations in schooling attainment were responsible for about a quarter of variations in worker incomes (Ozturk, 2008). The author also quotes another study which found that the share of income of the bottom 40 and 60% grew by between 6 and 15% with every one percent increase in the number of workers that had attained at least a secondary education. The takeaway is that secondary school achievement is key to income distribution in a given economy. Therefore, efforts should be made to ensure that people get access to primary and secondary education as a matter of priority.
The contribution of education to the economy is something that is too important. One way through which education affects the growth in per capita the income is by impacting population growth which is the denominator when calculating the metric. Studies have shown a negative relationship between education for girls and fertility (Becker, 2009). In places where girls received secondary education, the difference was especially significant when comparing girls who had attended school against those who had not. The implication is that girls who attend school tend to give birth to fewer children on average. Therefore, as the rates of educational achievement increase, population growth rates decrease. Consequently, income increases at an increasing rate while the population grows at declining rates (Nussbaum, 2011). The situation then results in increased per capita income. Therefore, education can then be seen as not only resulting in slower population but also increased per capita income.
Education and the Family
The family is the primary unit of society. Despite the changes that have taken place over the years, the family remains as the foundation of nations and economies; as the undisputed rock upon which aspects of economic and societal success are built. Apart from being the basic units of the ...