The Impact of Education on Social Equality and Economic Growth - Coursework Example

The paper 'The Impact of Education on Social Equality and Economic Growth " is a perfect example of marketing coursework. The impact of education on social equality and economic growth has been felt by many people in different countries worldwide. This paper delves into the contribution education makes to economic growth and social equality. It looks at the relationship between education and social equity, education and social stability, the expenditure on education and economic growth, income distribution, and the relationship between inequality and investment. It also uses a case study to analyze the relationships between education, development, and inequality.

Introduction

Education is one of the important determinants of economic growth. It is deemed that people who are well educated can impact positively on the economies of their countries by utilizing the skills acquired from school to generate income for their countries. They form part of the human capital needed to escalate human resources. When a government cuts down on public investment in education and infrastructure, its long-term growth and development are affected. Disparities in education can be based on gender and socio-economic status. Citizens who feel that their rights to free education have been impeached on due to political, social and economic fault lines are often resentful and quick to cause violence, conflict, and instability.

The education systems of a country can escalate peace or hinder it depending on the policy insertion. Governments, therefore, need to set aside a significant proportion of their income to invest in quality education for its citizens. In order for a nation to experience economic growth, it needs to invest in three things: human capital, financial capital and physical capital. Physical capital comprises of the natural resources; financial capital relates to investments that can make physical capital beneficial while human capital comprises of the human resources that are needed to ensure proper functionality of both physical and financial capital. A nation’s human capital encompasses the knowledge and skills of its citizens. In order for a nation to progress, it has to invest in its human capital. This is because both financial and physical capital has proved ineffective without human capital. Education of citizens endows them with skills needed for them to be productive in both the economic growth of their countries and in governance (Gylfason, 106).

Human capital can be primarily increased through education. Public education, therefore, forms a core component in a nation’s inputs for social and economic outcomes. Education also has other benefits to growth such as stimulation of physical capital investments and creation and innovation of new technology. The new technology acquired from education can be used to convert physical capital into income leading to economic growth (Lim, 23).

Developing countries usually face major challenges in creating a balance between provisions of universal education and improving the quality of the education. This is because as compared to developed countries, developing countries have fewer resources. They also lack adequate funds and have poor infrastructure. However, some less developed countries have managed to prioritize national education (Escobar, 60). They did this by allocating resources towards educating their citizens. This led to an elevation of their human capital and consequently in economic development.