Background
to the
Research
- Improving standards of education
and training is viewed as being vital to improving economic performance.
Quantifying the existence of a relationship between education and
economic growth is not a straightforward process.
Research
Approach
- This paper examines official statistics
on educational standards and research evidence on economic performance
in order to explore the relationship between education and economic
growth as it relates to NI.
Main Findings
Education and Economic Growth
- Research indicates that better educated
entrepreneurs are much more likely to employ business tactics, such
as conducting market research and introducing product improvements
both of which help overall growth of the firm.
- Comparative analysis of the performance
of companies in NI and Germany shows that superior training and education
amongst the German workforce led to them out performing their NI counterparts.
- Research indicates that high standards
of education and workforce skills are major factors in a company's
choice of location for mobile investment.
Standards of Education in NI
- Standards of education in NI compare favourably
to other parts of the UK. In 1994 30% of young people in NI achieved
2+ A Levels compared with 19% in England and 20% in Wales. At the
same time, 5% of 16 year olds left school with no formal qualifications.
- Despite the NI comparatively good performance
in education, evidence suggests that standards of education throughout
the UK are significantly lower than in many other industrialised countries.
Priorities for Education Policy
- The broad thrust of policy should focus
on improving attainment levels amongst school leavers as a key requirement
of employers is to recruit people with good basic skills such as literacy,
numeracy and communication skills.
- In order that these educational fundamentals
are achieved it is important to start early by targeting responses
at the pre-school, primary and secondary sectors.
Conclusions
- Unless the rate of improvement in relation
to educational attainment improves, particularly amongst school leavers,
economic performance in NI will continue to be below its full potential.
- In a region with high levels of unemployment,
and other socio-economic disadvantages, every effort should be made
in the area of education in order to improve economic performance.
|