Pakistan Ahead of India in Innovation Efficiency

Comment by Riaz Haq on August 22, 2011 at 8:38pm

From Javed Burki Op Ed in Express Tribune

http://tribune.com.pk/story/236961/preparing-the-population-for-a-m...

For a country that now has the reputation of neglecting the development of its vast human resource, it is possible to reach a somewhat different conclusion about the preparedness of the workforce. When the data for the schooling of the young is examined in some detail, and in the context of what is occurring in other countries of South Asia, Pakistan seems well positioned to develop a modern economy. The data used here are from the work done by the economists Robert Baro and Jhong-Wha Lee at Harvard University. Looking at this data, it appears that compared to other large countries of South Asia, Pakistan is doing better in an area that could be tremendously important for its economic and social future.

In 2010, India had 67 per cent of the 15-plus age group in school while Pakistan had 62 per cent. However, it is at the other end of the educational spectrum — what educationists call the tertiary stage — that Pakistan seems to be doing considerably better than other South Asian countries.

In 1950, for India and Pakistan, the proportion of people attending tertiary institutions was 0.6 per cent. Since this has increased to 5.8 per cent for India, a ten-fold increase, and to 5.5 per cent for Pakistan, a nine-fold growth. For Bangladesh, the increase was spectacular, a twenty-fold growth. However, it is the impressive increase for Pakistan that provides the element of surprise.

Pakistan does well in one critical area — the drop-out rate in tertiary education. Those who complete tertiary education in Pakistan account for a larger proportion of persons who enter school at this level. The proportion is much higher for girls, another surprising finding for Pakistan.

With a considerably lower drop-out rate at the tertiary level, it is not surprising that the number of years students spend in school in Pakistan (5.6 years) is higher than that in India (5.1 years) but a bit lower than that for Bangladesh ( 5.8 years). For tertiary education alone, Pakistan’s youth spend more time being educated than those in Bangladesh and India.

It is in the last two decades that the real brake occurred in Pakistan. The proportion of the 15-plus age group receiving tertiary education in Pakistan increased from only 2.4 per cent in 1990 to 5.5 per cent in 2010. The proportion of students completing tertiary education in Pakistan is 41 per cent higher than that for India. Better performance, when measured in terms of the proportion of the population receiving tertiary education, matters a great deal for the economic future. As Baro and Lee point out, the estimated rate of return is very high for tertiary education, close to 18 per cent. This is only 10 per cent for secondary education and almost zero for primary education. The state, by only concentrating on primary education, is not buying a better future for the citizenry. It must make it possible to develop tertiary education as well.

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