lmanagement企业管理类英文版PPT课件21.pptVIP

Chapter 4 School Finance as Investment in Human Capital Education  The Economy Throughout history, few believed that educating all citizens would benefit the society’s overall economy. The Old Concept For the most part, government limited education to the elite not to the masses Labor, the working classes, and the poor remained largely uneducated Early Times Early civilizations valued sheer numbers of people for protection, hunting, gathering. Developing societies prized individuals first for how well – and later for how much – they could produce. Early U.S. View Adam Smith’s The Wealth of Nations (1776) included human capital in the fixed capital equipment of manufacturing goods Society’s members’ acquired abilities as part of the fixed resources A revolutionary concept for the time, it followed naturally from the founding fathers’ discussions about a literate society’s importance to their democratic republic government. A New Concept Until Theodore W. Schultz’s work on investment in human capital gained popular acceptance in the 1960’s, society valued labor primarily for their physical rather than intellectual attributes. Now a Popular View The World Development Report of the World Bank other journal reports have shown that investment in education explains the sustained development of many countries the lack of development in others. An Educated Citizenry Raises Everyone’s Standard of Living Makes a better workforce Creates new products services that enhance quality of life Raises revenues for social programs Reduces social service programs’ costs for persons with increased levels of education Creates safer neighborhoods Education Level is Closely Associated with Increased Earnings High School Dropout $20,000/year High School Diploma $30,000/year Bachelor’s Degree $50,000/year Master’s Degree $60,000/year Doctorate Degree $78,000/year Professional $93,000/year Education Lifestyle An individ