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Expert Network on Economics and Sociology of Education and Training (ENESET)
  • Report

The cost of low educational achievement in the European Union

Raising student achievement in the EU could generate up to €87 trillion in long-term gains. Quality education, not just access, is vital for economic growth.

Details

Identification
Catalogue number: NC-01-13-030-EN-N
Publication date
1 November 2010
Authors
Directorate-General for Education, Youth, Sport and Culture | European Expert Network on Economics of Education (EENEE)
Geographical scope
  • European Union
Level of education focus
  • Higher education
  • School education
  • Vocational education and training (VET)
Thematic areas covered
  • Education-to-work transitions, education and labour market
  • Educational attainment and participation in education
  • Educational effectiveness and efficiency
  • Governance of education
  • Investment in education, economic impact of education
  • Monitoring and quality assurance
  • Quality and inclusive education for all
  • Skills development
  • Teachers and trainers
  • Whole-school and whole-system approaches and partnerships in education

Description

This report quantifies the long-term economic impact of improving educational achievement in EU Member States. Using international student assessment data, it simulates how different reform scenarios - such as increasing average PISA scores or reducing low achievement rates -would influence GDP. 

The findings show massive potential benefits: up to €87 trillion in present value if each country reached Finland’s performance levels. Stronger cognitive skills drive economic growth much more than school attainment alone. Effective policies include focusing on teacher quality, school autonomy, accountability, and system-wide incentives. 

The report warns that merely raising completion rates without improving learning outcomes will not deliver growth. It calls for education targets based on achievement quality, not just participation.

Authors

Eric A. Hanushek and Ludger Woessmann

Cite as

Hanushek, E. A., Woessmann, L. (2011), The Cost of Low Educational Achievement in the European Union, EENEE Policy Briefing no. 1/2011.

Cover

Files

  • 1 NOVEMBER 2010
The cost of low educational achievement in the European Union - Analytical report
  • 1 NOVEMBER 2011
The cost of low educational achievement in the European Union - Policy brief