implementing structural reforms with the oecd: the role of education and skills in promoting...

IMPLEMENTING STRUCTURAL

REFORMS WITH THE OECD: THE

ROLE OF EDUCATION AND SKILLS

IN PROMOTING INCLUSIVE GROWTH

Dirk Van DammeHead, Innovation and Measuring Progress Division,

OECD/EDU

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• Hesitant global economic recovery, but– Unemployment remains very high: >46 million

unemployed in OECD countries– The crisis has reinforced increase in income

inequality: income of richest 10% is 9.5 times that of poorest 10% (increase of 30% in 25 years)

Inclusive Growth: promoting inclusion and boosting long-term growth

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• Hesitant global economic recovery, but– Inequality increases in many other domains as

well: employment, health, education, housing, not only affecting overall quality of life, but also future economic growth and social cohesion

• Multidimensionality of inclusive growth

• Economic growth is important, but not sufficient for society’s progress if the growth dividend is not shared in a fair way

Inclusive Growth: promoting inclusion and boosting long-term growth

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ProductivityInnovation

Human capital

Education

The role of education and skills in fostering growth – the standard view

GROWTHIncomeCompetitiveness

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Average number of years of schooling of the adult population

0

2

4

6

8

10

12

14

16

IND IDN CHN TUR BRA SAU MEX ZAF KOR ESP ITA RUS ARG FRA CAN JPN GBR AUS DEU USA

2010 1990 1970

Emerging countries catching up in education in quantitative terms

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• But the average levels of educational attainment tell only part of the story, and a very minor one– Average skills level adult population only very

weakly related to economic output

The role of education and skills in fostering growth – the standard view

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Average numeracy score unrelated to economic output

240 250 260 270 280 29015000

20000

25000

30000

35000

40000

45000

50000

Australia AustriaCanada

Czech Rep

Denmark

Estonia

Finland

GermanyIreland

Italy

Japan

Korea

Netherlands

Norway

Poland

Slovak Rep

Spain

Sweden

United States

FlandersUK

Mean numeracy score

GDP per capita

PIAAC 2012

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• For social progress, the equitable distribution is more important– Equality of opportunity to education– Equitable learning outcomes– A well-balanced skills distribution

• Especially at the low ends of the distribution

The role of education and skills in fostering inclusive growth

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High social inequality

Unequal family

economic & cultural capital

Unequal education

opportunities

Wide distribution in learning outcomes

Unequal skills distribution

Low social mobility

EducationSkills

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Unequal family


Unequal education

opportunities



Low social mobility

EducationSkills

AustraliaAustria

Belgium Canada

Chile

Czech Rep.

Denmark

Estonia

Finland

France

Germany

Greece

Hungary

IcelandIreland

Israel

Italy

Japan

Korea

Luxembourg

Mexico

Netherlands

New Zealand

Norway

Poland

Portugal

Slovak Rep.

Slovenia

Spain Sweden

Switzerland

Turkey

UK

US

Singapore

Hong Kong-ChinaChinese Taipei

Macao-China

Liechtenstein

Viet Nam

Latvia

Russian Fed.Lithuania

Croatia

SerbiaRomania

Bulgaria United Arab Emirates

KazakhstanThailand

Malaysia

PISA 2012Shanghai-China

Socially equitable distribution of learning

opportunities

Strong socio-economic impact on student

performance

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Unequal family


Unequal education

opportunities



Low social mobility

EducationSkills

13

Skills inequality relates to income inequality

55 60 65 70 750.20

0.25

0.30

0.35

0.40

Australia

Austria

Canada

Czech Rep Denmark

Estonia

Finland

GermanyIreland

ItalyJapan

Korea

Netherlands

Norway

Poland

Slovak Rep

Spain

Sweden

United States

Flanders

UK

Score-point difference between the 75th and 25th percentiles on the numeracy scale

Gini coefficient

PIAAC 2012

14

Especially, the share of low-skilled relates strongly to social inequality

35 40 45 50 55 60 65 70 750.20

0.25

0.30

0.35

0.40

Australia

Austria

Canada

Czech RepDenmark

Estonia

Finland

Germany Ireland

ItalyJapan

Korea

Netherlands

Norway

Poland

Slovak Rep

Spain

Sweden

United States

Flanders

UK

Percentage of adults scoring below Level 2 on the numeracy scale

Gini coefficient

PIAAC 2012

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While the share of high-skilled is positively related to economic output

3 6 9 12 15 18 2115000

20000

25000

30000

35000

40000

45000

50000

Australia

AustriaCanada

Czech Rep

Denmark

Estonia

FinlandGermany

Ireland

Italy

Japan

Korea

Netherlands

Norway

Poland

Slovak Rep

Spain

Sweden

United States

FlandersUK

Percentage adults scoring Level 4 or 5 on the numeracy scale

GDP per capita

PIAAC 2012

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1.0

1.2

1.4

1.6

1.8

2.0

2.2

2.4

2.6

2.8

3.0

Low skills impact negatively on social outcomes and can generate huge costs

scoring at Level 4/5 compared with those scoring at Level 1 or below Odds ratio

PIAAC 2012

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• National differences in connecting education and skills distribution to social and economic outcomes are huge

• Hence, policies play a powerful role and can impact on each step in the process

• There is a lot of room for improvement towards inclusive growth

But policies can have an impact on education systems improving quality and equity

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Education policies

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-8-6-4-202468-4

-3

-2

-1

0

1

2

3

4

5

Change in the percentage of variation in mathematics performance explained by the PISA index of economic, social and cultural status (2012 - 2003)

Annu

alis

ed c

hang

e in

mat

hem

atics

per

form

ance

Equity improvedEquity deteriorated

Performance im

provedPerform

ance deteriorated

PISA 2012 - 2003

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The OECD can help!Tailored policy advice

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The OECD can help! Education GPS:User-friendly knowledge management

http://gpseducation.oecd.org/

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• Making the analysis and identifying the policy challenges

• Helping to set the objectives of reform• Assisting in the national dialogue to foster the

acceptance of reform and its implementation• Monitoring outcomes• Identifying next steps

The OECD can help!The case of education reform in Mexico

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• Making the analysis and identifying the policy challenges

• Helping to set the objectives of reform• Assisting in the national dialogue to foster the

acceptance of reform and its implementation• Monitoring outcomes• Identifying next steps

The OECD can help!The case of education reform in Mexico

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A. Estudiantes: mejores resultados para todosEquidad y calidad: Promover la mejora educativa para niños de contextos socioeconómicos en desventaja y de poblaciones indígenas.Preparar a los alumnos para el futuro: Promover mayor cobertura de educación media superior y asegurar un uso efectivo de cualificaciones en el mercado laboral.

B. Instituciones: mejorar la calidad de las escuelasMejora escolar: Profesionalizar la enseñanza y el liderazgo escolar atrayendo, desarrollando y reteniendo a los mejores candidatos a través de procesos sistemáticos y transparentes.Evaluar para mejorar los resultados de los alumnos: Proveer coherencia a través del sistema, construyendo capacidad y equilibrando las funciones de mejora y rendición de cuentas.

C. Instituciones: gestionar el sistema educativoGobierno: Lograr un balance entre gobiernos federales y estatales, asegurando la capacidad y el involucramiento efectivo de diferentes actores.Financiación: Establecer un financiamiento más transparente y equitativo que alcance a aquellas escuelas y alumnos que más lo necesitan.

El marco de análisis y retos en México

Contexto: Política educativa en perspectiva

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• OECD will continue its work on Inclusive Growth– http://www.oecd.org/inclusive-growth/

• The OECD Directorate for Education and Skills (EDU) will structurally include work on Inclusive Growth in its 2015-16 draft work programme– The Centre for Educational Research and Innovation

(CERI) will have a project on ‘How skills contribute to Inclusive Growth’

OECD’s work on Inclusive Growth

http://www.oecd.org/inclusive-growth/

http://www.oecd.org/inclusive-growth/

Thank you !

[email protected]/edu/

twitter @VanDammeEDU

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