Education Flashcards
Derive the endogenous growth model with human and physical capital?
Can use paper: Page 5
What is LR growth under endogenous growth model?
LR growth = s^(a)q^(1-a)
Endogenous growth?
Lucas (1993): Human K as main engine of growth.
Human capital acts as a multiplier of increases to output! Increase in output leads to increase in human K.
(Mankiw, Romer, Weil 1992)
Low human capital in poor as an explanation of why physical K does not flow to poor! Returns to education may be greater!
Consistent with New Labour policy: ‘Education, Education, Education’
What is poverty trap?
Low human K leads to low income and high fertility so low human K
Effect of school on GDP?
Strong correlation (Unesco 2005)
India education over time to now?
Probe report finds literacy rate up 52.2% to 65.4% 1991 to 2001
Gender gap has significantly narrowed, but still great variation by state!
Problems with teaching in India?
Quantity, Quality
Quantity: Only 30% of villages in Uttar Pradesh have schools (Drese and Kingdon 2001)
Quality: 60% of schools in Uttar Pradesh have a leaky roof
Problems in India other than Quality and Quantity?
Teacher truancy =avg of 25% on any given day.
Cost: Primary education = roughly 40 days as an agricultural labourer/year
Quantity of education what study?
Duflo 2001
Japan/much of SE Asia ‘overinvested in education’?
This is roughly self sustaining as leads to I up leads to HK up etc
Duflo 2001: Set up?
61,000 schools in Indonesia
primary schools built 1973-9
Duflo findings?
Extra school/thousand children leads to education age up 1.5 months in a year.
Economic returns to education = 6.8 to 10.6%
Far larger effect in rural areas due to access up (urban only decreased overcrowding)
Where are the largest returns to education?
Primary schools, LEDCs
Quality study?
Bedi and Edwards 2003
Quality study priors?
Limited sample size study in Honduras.
Proxy quality via electricity provision, ratio of students to teachers.
