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Investment In Schooling Essay

5920 Words24 Pages

THE THEORY OF INVESTMENT IN SCHOOLING

Diana Loubaki
ISG, Department of Economics, University Marien NGouabi, Bzv (Congo)

Abstract: the aim of this article is to bring an additional source of countries heterogeneity in the growth literature focused on knowledge accumulation. We find that, the observed heterogeneity in development levels among countries come mostly from income heterogeneities among families as the resulting effect of supplementary investment in schooling provided by parents since the high school. The productivity generated induces the firms’ profits increase through technology better comprehension, thus increases the country’s economic growth. Therefore, embodied knowledge is a process composed of two steps which are: schooling investment or ex-ante knowledge, first and human capital or ex-post knowledge after, thus are crucial unemployment reduction mechanisms.
JEL CLASIIFICATION: O11; O40. O20; I25;F62;F63
Keywords: Ex-ante Human Capital, Ex-post Human Capital, Children Quality, Education, Schooling

1 INTRODUCTION
Until today, accounting for countries growth rates heterogeneity around the world, remains a central issue of comparative economic development in order to understand growth movements over time in the economic literature. The problem began with the impossibility to show where growth came from, since the poor grow faster …show more content…

Even if over the time, the demand for those schools became too high so that, it needed some selection with the organization of a kind of preparation at high levels to increase the chances to get a place called “Classes préparatoires” the success remains

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