Does Increasing University Enrollment Promote Economic Growth?

Abstract

There is no doubt that the demand for higher education is rising. This paper seeks to find out if a higher tertiary school enrollment lead to higher economic growth. The data that is collected and analyzed showed a very significant and positive relationship between the two in middle-income countries. This result can be applied to upper middle-income countries like China, Ecuador, and Russia as well as poorer, lower middle-income countries like Bangladesh, Bolivia, and India – all of which face unique development challenges related to higher education. Enrolling students in universities and vocational schools seems to lead to economic growth.