Education

Girum Abebe, Stefano Caria, Marcel Fafchamps, Paolo Falco, Simon Franklin, Simon Quinn, 09 December 2016

Youth unemployment is a growing problem around the world, particularly in urban areas. This column assesses the impact of labour market interventions in Addis Ababa targeting two issues commonly faced by unemployed youth: job search costs and a poor ability to signal their skills. A transport subsidy and a job application workshop were both found to have significant positive effects on youth labour market outcomes, pointing to the important role policymakers can play in helping young people find satisfying employment.

Axel Dreher, Shu Yu, 25 November 2016

The belief that educating future leaders of other countries helps spread the values of the country of study has inspired many foreign-education programmes. This column uses data on the education and UN voting patterns of 831 world leaders to show that foreign-educated leaders tend to be less friendly with former hosts, but more friendly with countries that share the host’s culture and politics. This appears to reflect a tension between ‘affinity’ with former hosts and ‘allegiance’ to domestic voters.

Philip Oreopoulos, Uros Petronijevic, 13 November 2016

Questions over the value of a university education are underscored by negative student experiences. Personalised coaching is a promising, but costly, tool to improve student experiences and performance. This column presents the results from an experiment comparing coaching with lower cost ‘nudge’ interventions. While coaching led to a significant increase in average course grades, online and text message interventions had no effect. The benefits of coaching appear to derive from the trust-based nature of relationships and personalised attention.

Anna Valero, John Van Reenen, 10 November 2016

Growth in higher education has been driven by the view that human capital is essential for economic and social progress. This column uses a comprehensive international dataset covering 78 countries to show that on average, a 10% increase in the number of universities (roughly adding one more university to the average region in the data) increases a region’s income by 0.4%, with additional effects spilling over to other regions within the same country. In the UK context, the benefits of university expansion are likely to far outweigh the costs.

Dale Jorgenson, Mun S. Ho, Jon Samuels, 01 November 2016

There has been speculation that the low employment rates for younger and less-educated workers in the US reflect a ‘new normal’. This column uses detailed new US data to project output, productivity, and employment rates over the next decade. The results indicate that US economic growth will continue to recover from the Great Recession through the resumption of growth in productivity and labour input. The recovery of employment rates for less-educated and younger workers will make an important contribution to future economic growth.

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