the proportion who pass a global benchmark for advanced skills). The experience of some countries, such as South Korea, shows how remarkably quickly educational attainment can increase. This chart shows the share of students who achieve minimum proficiency (i.e. Since then there has generally been a strong upward trend in the gender ratios across all world regions, which indicates that the inequality between men and women in access to education has been declining. The growth in access to primary education across developing countries was achieved through an important increase in government expenditure on education in these countries (you can read more about this in our discussion of global expansion in education expenditure). With over 100,000 employees, there might be 400 kids starting in one class—people from all over the world. Russian Federation: The Russian Federation country has won the most prestigious award of OECD’s most educated countries list. Governments around the world are nowadays widely perceived to be responsible for ensuring the provision of accessible quality education. What we learn from this result is that “test scores that are larger by 1 standard deviation (measured at the student level across all OECD countries in PISA) are associated with an average annual growth rate in GDP per capita that is two percentage points higher over the whole 40-year period.”28, This coincides with other studies showing that historical increases in the number of universities across countries are positively associated with subsequent growth of GDP per capita (Valero and Van Reenen 2016).29, A number of studies have found that it is actually education in the form of cognitive skills, rather than mere school attainment, what really matters for predicting individual earnings and economic growth. Having an educated workforce is beneficial to the development and economic growth of a country. The estimates discussed in this section come from The International Institute for Applied Systems Analysis (IIASA). The chart shows the earnings of tertiary-educated workers, by level of tertiary education, relative to the earnings of workers with upper secondary education. This article is published in collaboration with The Conversation. Economic growth in developing countries: The role of human capital. To the extent that the authors do not specify which sources were prioritised for each year/country, it is not possible for us to reliably extend the time series with newer data. Today, we cover trends in highly educated people—those with college degrees and those with advanced degrees—across America’s 50 largest … This indicates that in these countries the literacy rate for the overall population will continue to increase. These figures are simply correlations, and cannot be interpreted causally: individuas with more education are different in many ways to individuals with less education, so we cannot attribute wage differences solely to education choices. Adults in Canada, however, test at 15%. This question is motivated by the notion that aggregate education (‘human capital’) generates positive spill-over effects for everyone. Barro, Robert and Jong-Wha Lee, April 2010, “A New Data Set of Educational Attainment in the World, 1950-2010.” Journal of Development Economics, vol 104, pp.184-198. National Bureau of Economic Research, 2013. Oxford: Elsevier. The highest level of education that individuals complete is another common measure of educational attainment. Human capital in the long run. They met us at the airport with big Greyhound buses. The same data is also then published by the World Bank (World Bank EdStats and World Development Indicators) and Gapminder. We can see that there has been a continuous rightward shift in the successive distributions of schooling across time. Here, 46% of adults have achieved a tertiary level education. The report concludes that adults with higher qualifications are more likely to report desirable social outcomes, including good or excellent health, participation in volunteer activities, interpersonal trust, and political efficacy. The education system is more public and was increased by 5% on an average in the year 2008-2010 amongst all the OECD countries. The fact that expenditure on education does not explain well cross-country differences in learning outcomes is indicative of the intricate nature of the process through which such outcomes are produced. Here we go further and explore changes across the entire global distribution of years of schooling. It shows that our world will be inhabited by more and more educated people: while in 1970 there were only around 700 million people in the world with secondary or post-secondary education, by 2100 this figure is predicted to be 10 times larger. Handbook of the Economics of Education, Volume 5. 245-252. Better education lifts all boats. Specifically, these estimates come from Barro Lee (2010)6, and cover the period 1950-2010. The visualization shows the recent evolution of inequality in educational attainment, through a series of graphs plotting changes in the Gini coefficient of the distribution of years of schooling across different world regions. Available online here. The visualization, from the UNESCO report Measuring Exclusion From Primary Education (2005), shows the relationship between these two measures. Jesus Crespo Cuaresma, Samir K.C., and Petra Sauer (2013) – Age-Specific Education Inequality, Education Mobility and Income Growth You have the permission to use, distribute, and reproduce these in any medium, provided the source and authors are credited. They collected data from a large set of psychometrically-robust international and regional student achievement tests available since 1965, and they linked them together in a common measurement system. Lutz, W., Creso Cuaresma, J., & Sanderson, W. (2008). The economics literature has long studied whether the level of education in a country is a determinant of economic growth. Data on expenditure corresponds to 2010 total government education expenditure across all levels, as a share of GDP (source: World Bank Education Statistics). Demography, education, and democracy: Global trends and the case of Iran. Education for Growth: Why and for Whom?. All of us are meant to be great. Research has shown that people with a higher level of education are less likely to be unemployed, more likely to earn a higher salary, and more likely to be productive. These include: Education is widely accepted to be a fundamental resource, both for individuals and societies. A classic example of a mechanism though which education may yield such positive economic externalities, is that aggregate education improves a country’s ability to innovate, as well as imitate and adapt new technologies, hence enabling ‘technological progress’ and sustained growth (see Lindahl and Krueger (2001) for an overview of further macroeconomic theories of education and growth).25, While early studies found that schooling levels were poor predictors of economic growth, more recent studies – that crucially made use of better data – confirm the expected positive link. Even in early-industrialized countries it was only in the 19th and 20th centuries that rates of literacy approached universality. The countries in this chart are ordered in ascending order of relative earnings. (2013). Data on the production of education shows that schooling tends to be largely financed with public resources across the globe, although a great deal of heterogeneity is observed between countries and world regions. However, data on literacy rates by age groups shows that in most countries, and certainly in virtually all developing countries, there are large generational gaps: younger generations are progressively better educated than older generations. 2 (51.4%) and the most educated country in the world is Canada (56.7.%) – although Canada faces an overeducation, underemployment problem. The time-series chart shows inequality by age group. The way education affects the economy of Ukraine is somewhat hindered by political problems within the country. Labor wages, however, are currently very low in Ukraine, only $379 per month for 11 years of schooling compared to $1,114 in Hungary for 11.6 years of schooling. UNESCO ‘Recommendation Concerning the International Standardization of Educational Statistics’, Records of the General Conference, tenth session, Paris, 1958: Resolutions, An overview of the academic literature on the historical origins and spread of literacy can be found in Easton, P. (2014). The visualization shows the estimates and projections of the share of individuals, across countries, who have no education. You can compare achievement above minimum, intermediate, and advanced benchmarks, country by country and over time, in these three line charts: The most common way to gauge differences in the way countries ‘produce’ education, is to analyze data on expenditure. The top chart in this figure, corresponding to high income countries, shows a very clear pattern: households contribute the largest share of expenses in tertiary education, and the smallest share in primary education. As usual, a selection of countries is shown by default, but other countries can be added by clicking on the relevant option at the top of the chart. You find more research, data visualisations, and detailed lists of data sources in the more specific entries: See the Wikipedia entry on compulsory education for a table of the ages of compulsory schooling around the world. In this entry we begin by providing an overview of long run changes in education outcomes and outputs across the world, focusing both on quantity and quality measures of education attainment; and then provide an analysis of available evidence on the determinants and consequences of education. Mean years of schooling, Population breakdown by highest level of education achieved for those aged 15+, Projected female population (15+) by highest educational attainment, Public education expenditure as share of GDP, Share of population, 15 years and older, with no education, Share of students achieving advanced learning outcomes, Share of students achieving intermediate learning outcomes, Share of students achieving minimum learning outcomes, Share of the population with a completed post-secondary education, Share of the population with at least some secondary education, Share of the population with no formal education, projections by IIASA, Share of the population with secondary education, but no tertiary education, Share of the world population older than 15 years with at least basic education, Total government expenditure on education, younger generations are progressively better educated than older generations, discussion of global expansion in education expenditure, Measuring Exclusion From Primary Education (2005), Global Data Set on Education Quality (1965–2015), The Investment Case for Education and Equity (UNICEF – 2015), Available evidence specifically on the importance of school inputs, pre-school investment in demand-side inputs leads to large positive impacts on education, Records of the General Conference, tenth session, Paris, 1958: Resolutions, http://unesdoc.unesco.org/images/0022/002252/225258e.pdf, http://www.foreurope.eu/fileadmin/documents/pdf/Workingpapers/WWWforEurope_WPS_no006_MS15.pdf. Today, public resources still dominate funding for the primary, secondary and post-secondary non-tertiary education levels in these countries. United Nations Educational, Scientific and Cultural Organization. In Niger, Chad and Liberia, estimates suggest that less than half of the school-aged children attend primary school. As we can see, in all OECD countries for which information is available, the higher the level of education, the greater the relative earnings. This is exactly what Nadir Altinok, Noam Angrist and Harry Patrinos did in a new working paper: Global Data Set on Education Quality (1965–2015). Canada leads the way in terms of having a highly educated workforce. This is indicative of the demand-and-supply dynamics that contribute to determine wage differentials across different countries. Pritchett, L. (2001). As incomes – measured by GDP per capita – are generally increasing around the world, this means that the total amount of global resources spent on education is also increasing in absolute terms. Journal of Development Economics. Like Liked by 3 people. The source reports that “among the 59 countries with comparable data, in 24 countries participation rates drop by five percentage points for the primary school-age group when household surveys are used instead of administrative data.”4. Young people in Ireland have among the highest levels of education in the world, according to a major new international study.. School Resources. That was in 1978. These costs are recorded as 3 times the OECD average. Our World In Data is a project of the Global Change Data Lab, a registered charity in England and Wales (Charity Number 1186433). collective) returns to education. According to the OECD, over 56 percent of adults in the Great White North have earned some kind of education after high school. And there’s no Black people on the bus. No. For a discussion of evidence supporting this claim, see Hanushek, E. A., (2006). You can read more about the expansion of education systems around the world in our entry on Financing Education. These factors work together to give the economy within a country a more competitive edge on the global market. And in other regions it was even much unequal than that, in Sub-Sahran Africa women had only 0.08 years of education for every year of education that men received. Those countries that pioneered the expansion of primary education in the 19th century – all of which are current OECD member states – relied heavily on public funding to do so. BACHELOR'S AND BEYONDIn America, Nigerians' education pursuit is above restWhether driven by immigration or family, data show more earn degrees The link between expenditure and outcomes, Average OECD non-tertiary education expenditure by source of funding, Average learning outcomes vs GDP per capita, Child mortality vs. mean years of schooling, Children in school: administrative vs household survey data, Correlation between education in the past and democracy today, Correlation between mean years of schooling and GDP per capita, Cumulative drop-out rate to the last grade of lower secondary general education, Existence of nationally representative learning assessment at the end of primary education, Gender ratios for mean years of schooling, Gross enrollment ratio in primary education, Gross enrollment ratio in secondary education, Learning outcomes, minimum vs advanced achievement, National average learning outcomes, 1985 vs 2015, Number of people aged 15+ with no education (in millions) by continent, Official entrance age to compulsory education, Out-of-school children of primary school age by world region, Out-of-school girls of primary school age by world region, Political regime vs. We can see that in 1870, the distribution was concentrated at the left: most of the people had between 0 and 3 years of education. This is a great accomplishment! Access to advanced education is both more important and more expensive than ever. Philip N. Cohen says: January 16, 2017 at 2:00 pm “If you truly felt that something was untrue you would just ignore it” — one of the stranger attacks I’ve heard. conditional cash transfers) are particularly likely to increase student time in school; and that those that incentivise academic effort (e.g. The interactive map shows literacy rates around the world, using recent estimates published in the CIA Factbook. The causal effect of education on earnings. In other words, education pay-offs are not constant over the life cycle. This conceptualization highlights that, for any given level of expenditure, the output achieved will depend on the input mix. The most educated people, even though they were small in numbers, we black females. For 1998 it is estimated that 381 million children were out of school. In the previous section we showed, through school enrollment data, that the world went through a great expansion in education over the past two centuries. Indeed, in most countries basic education is nowadays perceived not only as a right, but also as a duty – governments are typically expected to ensure access to basic education, while citizens are often required by law to attain education up to a certain basic level.1. As we can see, learning outcomes tend to be much higher in richer countries; but differences across countries are very large, even among countries with similar income per capita. That's 10% higher than the U.S. and 16% above the Organization for Economic Co-operation and Development (OECD) average. In contrast, by 2010 the distribution had shifted drastically to the right. Having more education helped people all over the world stay employed during the recession, according to the OECD. Here we show some key charts using their data. Today, education has become the basic human right as it can enable an individual to read and write that prepares people to make an educated and strong nation on the planet. Less than half of students in Sub-Saharan Africa reach the minimum global threshold of proficiency; and very, very few students achieve advanced skills. Take, for instance, Black Women’s Equal Pay Day. Data on years of schooling corresponds to 2010 mean years of schooling for the population aged 15 and over (source: Barro Lee Education dataset). At a cross-sectional level, expenditure on education correlates positively with both quantity and quality measures; and not surprisingly, the quality and quantity measures also correlate positively with each-other. Most of the evidence presented below is ‘descriptive’, in the sense that it points towards correlations between education and various individuals and social outcomes, without necessarily proving causation. For example, by contrasting the wages of genetically identical twins with different schooling level, researchers have found a way of controlling for unobservable characteristics such as family background and innate ability. Roughly speaking, this pattern tends to be progressive, since students from wealthier households are more likely to attend tertiary education, and those individuals who attend tertiary education are likely to perceive large private benefits.14 In contrast, the bottom chart shows a very different picture: in several low-income countries households contribute proportionally more to primary education than to higher levels. For instance, the OECD Education at a Glance report (1998), which presents estimates for the years 1990 and 1995, suggests discrepancies with the values reported by Tanzi & Schuktnecht (2000) for 1993. Education varies between all 50 states in both educational attainment and quality of education. National Bureau of Economic Research. At the secondary school age the reverse is true, more boys than girls are out of secondary school. License: All of Our World in Data is completely open access and all work is licensed under the Creative Commons BY license. Average, or mean years of schooling of a population, are typically calculated from data on (i) the distribution of the population by age group and highest level of education attained in a given year; and (ii) the official duration of each level of education. The rate of attendance, on the other hand, is typically measured through household survey data, and is defined as the percentage of children in the age group that officially corresponds to primary schooling who are reported as attending primary school. The breakdown by age gives us a view into the future: as the inequality is lower among today’s younger generations, we can expect the decline of inequality to continue in the future. Education is a valuable investment, both individually and collectively. As we can see, countries where adults had a higher average education level in 1970, are also more likely to have democratic political regimes today (you can read more about measures of democracy in our entry on Democracy). 4, with 47.7% having completed a higher-education program, but it tops the list of most educated people aged 25-34 (66.6%). While its high level of educated is not currently reflected in the economy, it will be a key factor in helping the country move forward economically. This article takes a closer look at some of the countries with the most educated workforces around the world. A global picture of attainment shows estimates and projections of the total world population by level of education. In other words, there is robust evidence supporting the causal effect of education on wages (for more details see Card 1999). Below we provide more detailed evidence of how education inequality has been going down since 1950. United States: This list is based on the number of adult residents ages 25 to 64 who have received a … For regional estimates, the authors classify the following countries as ‘Advanced Economies’: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Greece, Iceland, Ireland, Italy, Japan, Luxembourg, Netherlands, New Zealand, Norway, Portugal, Spain, Sweden, Switzerland, Turkey, USA, United Kingdom. the gender ratios approximate the 100% benchmark for education gender parity). Sustaining Literacy in Africa: Developing a Literate Environment. South Korea outclasses Japan based on some of the criteria for ranking the world’s best education systems. This is explained by near-universal enrolment rates at these levels of education and the demographic structure of the population. Literacy rates are determined by literacy questions in a census or sample survey of a population, in standardized tests of literacy, or via extrapolation from statistics about school enrollment and educational attainment.2. The Gini coefficient is a measure of inequality and higher values indicate higher inequality – you can read about the definition and estimation of Gini coefficients in our entry on income inequality. This is a list of countries by 25- to 64-year-olds having completed tertiary education as … As usual, correlation does not imply causation – but it does show an important pattern that supports the idea that education is indeed necessary to produce social capital. Does education matter for economic growth?. Because of its dedication to having an educated workforce, this country has the second lowest percentage (only 8%) of unemployed and uneducated youth (known as NEET’s). scholarships) are likely to improve learning outcomes. As it can be seen, all countries outside Africa (with the exception of Afghanistan) have literacy rates above 50%. While Equal Pay Day is in April, it takes Black women four more months to catch up. You can read more about their approach and results in our blog post “Global education quality in 4 charts”. This chart plots GDP per capita (after adjusting for differences in prices across countries and time), against average student test scores (after homogenizing and pooling international and regional student assessments across education levels and subjects). As we can see, the average number of years spent in school has gone up around the world. The visualization shows the percentage of total education expenditures contributed directly by households in 15 high income countries and 15 low/middle income countries (most recent data available on 2014). In 2011, the government allocated $23,226 of the national budget per student for their educational attainment. All maps, graphics, flags, photos and original descriptions © 2021 worldatlas.com, 15 Countries With The Most Educated Workforces, The World’s Largest Oil Reserves By Country, Top Cotton Producing Countries In The World. And in almost every country, those with post-secondary non-tertiary education were more likely to trust others than those with primary or lower secondary education. In: Penelope Peterson, Eva Baker, Barry McGaw, (Editors), International Encyclopedia of Education. 21 Most Educated Countries in the World: 1. Only 3% of individuals with a tertiary education are unemployed in Luxembourg, while 6% of those who did not finish high school are unemployed. More people around the globe are attending college than ever before. This scatter plot compares national average learning outcomes in 1985 and 2015 (or closest years with available data). 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