Kiel Working Papers, Kiel Institute for World Economics
No 945:
The Fading Productivity of Schooling in East Asia
Erich Gundlach and Ludger Wößmann
Abstract: We compare changes in schooling output and in schooling
input of six East Asian countries to derive a measure of productivity
change. Our results question the impression that all is well with education
in East Asia. First, we find that the cognitive achievement of pupils did
not change substantially in 1980–94 (except for the Philippines, where it
most likely declined). Hence schooling output largely remained flat or
worsened. Second, we find that the relative price of schooling increased by
more than would be warranted by zero productivity growth in schooling.
Therefore, we conclude that schooling productivity has declined. The main
reason for the fading productivity of schooling appears to be a decline in
the pupil-teacher ratio.
JEL-Codes: I2; (follow links to similar papers)
37 pages, September 1999
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