Education: a Public or Private good?

(this is a reproduction of one of the write-ups submitted during placements)


Education has been subject of “welfare state”, since old times, as one of the building blocks of welfare state. From Vedic period all had access to education, where everyone was treated as equal under the “Gurukula” system of delivery of education. The rationale of equity, bridging the social opportunity gap, and development of human capital for nation’s economic growth (Solow 1957) are the most sought arguments for education as public good. As the effect of education is associated with greater levels of research and development expenditures, higher rates of innovation and higher rates of new technology adoption are the
externalities associated with it. Education has its spill over effects for the society, as a whole, apart from the benefits to the individual as a person.

Public goods characterised by non-rivalry, non excludability and externalities. The state has assumed the responsibility for creation of these in form of public education delivery system which has its own inherent cost as a public good. The primary and secondary education delivery system ensures nonexcludability and non-rivalry of resources through free and compulsory education. Also the marginal costs for the same are negligible. The role of books and technology in making education a public good is remarkable when open access and open-ware are taking it to every door-step.

The private education except for the economic exclusion resembles public good but the coverage and spread is less. The probability of market failure due to limited coverage, higher charges and under-investment by individuals (economic rationality model), in case education becomes a part of free market, may lead to negative consequences for society. This calls for state intervention to ensure education as a public good. The positive externality in long term of university education gives the rational to maintain it as a public good. This can be pursued through public funded institutions and promotion of private institution with
mechanisms of control.

The nature of education as a public good is undergoing transformation towards a ‘non pure’ public good, with changing times and evolution of market. Shaw (2010) labels education as ‘bad public good’, due to poor delivery systems, which in turn, directly or indirectly, promotes emergence of private players and market. This seems to be evident from the increasing shift of people towards private education institutions.

Streamlining the above quoted issues can mitigate the problems involved, but at the same time both the public and private investments in the education sector has to be encouraged to bridge the gaps between the need and the capacity of state to undertake the education activity.

(a non-pure public good is one whose marginal cost of supply does rise gently as output is
increased. If the market fails to provide a sufficient quantity of a public good, then there is a loss of economic (social) welfare.)

References

•  Council of graduate schools(2008) Graduate Education and the Public Good,Washington DC

• Dutta et al. (1999) Education and Public Policy, Fiscal Studies vol. 20, no. 4, pp. 351–386

• Is Education a Public Good? http://www.globalpolitician.com/2418-education accessed on 1 Feb 2011

• Shaw, Jane (2010) Education-A Bad Public Good? The Independent Review;Fall 2010; 15, 2; ABI/INFORM Global

• Wyckoff, James H(1984) The Nonexcludable Publicness of Primary and Secondary Public Education, Journal of Public Economics. AmsterdamVol.24, Iss. 3; pg. 331, 21 pgs

The 'Social Side Effects' of Social Networking

I have been lately observing the "Facebook fever" and I too am a part and parcel of the same. Recently, the title and tag line of movie "The Social Network" drew my attention; it says "You don't get to 500 million friends without making a few enemies". It made me wonder are we really building upon the 'Social' network' by 'investing' endless hours in front of our laptop and mobile screens with "in vogue" social networking websites. I experienced the networking revolution in many phases each making me spend more time in the virtual world, slowing eating the pie of 'real' from my experiences. Initially you tend to enjoy, it feels like the Great Columbus to discover your old pals, make new friends, knowing about them and being a witness of their experiences through the latest developments that they have in their 'networks'. Believe me your quench for making friends does not ends here.

Let me ask you a fundamental question "Why you need to know people?".

You would say man is a social animal...you need people to share your thoughts, feelings, to show off, emotional needs blah..blah..blah...blah...(end less theories and arguments...). I am not a student of sociology but one thing for sure I can tell "YOU NEED TO BE RECOGNIZED AND ACKNOWLEDGE!!" by your peers, parents, relatives, and whole gamut of people around you. And this is what is your interaction all about (you are most welcome to differ).

Lets move to what we do nowadays.

The 'wall' and 'news feed' has become more important these days than the "Hi!!" and "hello!!" of the verbal communication....a glimpse of eye and a reciprocating smile :) ....we are too busy with our networking to forget the latter form of interaction...or say not too traditional and technology dumb to practice it. What to say about the college campuses...the 'add as a friend' and commenting of the posts has become more important than talking to each other.

And its heights when people meet and talk about

"....you know X commented this on Y's post/photograph..."

"...the video T has shared is damn funny..."

"....I blocked that person..."

"...X removed Y from friend list because they had a fight..."

"...please add me as friend..."

"...why haven't you responded to my post..."

"....hey his relationship status says committed....."

...blah..blaaah..blah.

and many more things to make you feel crazy....and ask "Dude is this all you have to talk about under the sun."

It makes me remind the incidence from the movie Inception (2010) "....here they come to be waken up from the 'dream' of the real world to the 'real' world of their dreams...".

People are so addicted to it that it attacks your subconsciousness. One always look for the red coloured notification (give a feeling that u exsist in this lonely world for some people) as one posts "What's on your mind" or some pics or comment on someones status/picture or apps. This leads to a series of posts(status/pics/activities/likes/apps) to attract attention, appear cool and wanted..but is it worth all this effort??. The attention and acknowledgment they are deprived of when they confine themselves to the LCD's.

They keep looking for Top News and Most recent in the News feed.....I can bet on my life that they never would have taken so much pain to look for the news and happenings in the campus, city, state or country...naaaah...not even the next door neighbour or roommate!!

One love to chat with people on Gtalk, FB, Gmail, yahoo..n many more apps....but when it comes to saying a Hi!! or passing a smile....you fail...I do not get this thing at all!!!!

There are people out there..go talk to them....know them...for your sake come out of the virtual network and lets put things together in reality!!

We are letting these website people hijack our lives....your life goes haywire when you can't access internet..becoz..you won't be able to see your status updates, notifications, chat with friends....not because you will miss on some important e-mails, deadlines and party announcements...common people!!

There is beautiful world right out of your window; a person next door...peers just a call away....give yourself a chance to 'feel' this world. Even if you give a fraction of the efforts you do for networking on website to the world out there...it would be a better place to be. Things can always work out, its never too late...but do not delay it. Give yourself a chance to grow!!!

PLEASE COMMUNICATE......
(plz don't say what an idea sirji...)