Introduction:

Have you ever wondered why we go to school every day?

And is education simply classes and lessons that end with a certificate whose arrival we celebrate with our families?

In fact, education is the key driver—the engine that propels comprehensive economic development in nations. This is no mere slogan; it is a reality reflected in global figures and statistics. Education is an effective tool for societies to reduce poverty, and a bridge to peace, social order, and stability.

1. Education’s direct impact on individual and community income:

Education directly helps improve quality of life and provides individuals with better job opportunities, thereby increasing household income.

  • At the individual level: A study published by the World Bank indicates that each additional year a student spends in school increases their future earnings by 9% once they enter the workforce.
  • At the national level: Education’s impact extends beyond the individual. A study conducted over 40 years across 50 countries measured education quality using international mathematics and science tests. The original study indicates that a one-standard-deviation increase in test scores is associated with an increase of about two percentage points in long-term economic growth—not that countries that prioritize education consistently outperform others.

In addition, education encourages innovation within institutions and strengthens social cohesion and equal opportunity for all.

2. Human capital: The most profitable investment:

When we think about a nation’s wealth, we may think of oil, natural resources, or modern machinery. But scientific research shows that people are the true wealth!

A study published by Harvard University highlights the following figures:

  • Investment in human capital (skilled, educated people) accounts for 62% of global output. This share increases as services for people expand, while the remaining share comes from machinery and natural resources.
  • Education’s return on investment: Every one dollar spent on education—especially in developing countries—generates annual income of between 7 and 10 dollars for the country over a period of 15 to 20 years. This makes education a long-term strategic investment that develops learners’ abilities and skills.

3. Major challenges:

The school-closure crisis and its effects

The entire world—developed and developing countries alike—faced major challenges as a result of the COVID-19 pandemic, which led to school closures in early 2020. This caused “learning loss” and academic setbacks, particularly in developing countries, where school dropout rates increased.

Experts and economists, including Eric A. Hanushek, warn of the crisis’s long-term economic consequences and highlight its key effects and the challenges involved in addressing them:

  1. Lower individual earnings: Students affected by school closures during primary and secondary school are expected to earn 3% less over the course of their careers.
  2. Impact on GDP: These losses could reduce countries’ average annual GDP by 1.5% for the remainder of this century.
  3. Simply returning to the past is not enough: Professor Hanushek explains that merely restoring schools to their pre-2019 performance levels will not make up for the losses. Major, rapid steps are needed to address this learning gap.

4. How can we overcome learning loss? (Solutions and strategies):

To mitigate these effects and protect the economies of countries and individuals, we should focus on the core of the educational process: teachers and students.

  • Developing teachers’ skills: Research shows that ongoing training equips teachers with modern tools and helps them meet students’ needs, contributing to better school performance and improved academic achievement.
  • One-to-one tutoring and differentiated instruction: Disruptions to education have led to varying achievement levels among students in the same classroom. Adopting individualized guidance and instruction that accounts for individual differences can help all students make progress and rebuild their skills.

Final thoughts:

During times of crisis that threaten the continuity of schooling, the focus often falls on logistical preparations and safely reopening institutions. While these aspects are important, protecting nations’ economic and social futures requires a deeper strategic perspective: investment in people and human capital must remain the top priority. Educated people are the solid foundation on which national progress and prosperity are built.