Economic Evaluation of Vocational Education in Jordan

Abstract

This study is a comparative-economic evaluation of the formal general and vocational education programs, in the secondary public schools in Jordan. The specific objectives of the study were: computing the social and private costs and the monetary returns of education, and computing the rate of vocational education contribution in the productivity growth rate in Jordan.

The study analyzed the direct public expenditures by examining the actual educational expenditures on general education. These expenditures were divided by the three cycles (primary, preparatory, and secondary) in accordance with the percentages of salaries in these cycles. The indirect public expenditures were divided by the primary, preparatory, and secondary and community college education in accordance with these ratios: 1:2:3; then after, per student costs from the direct and indirect public expenditures were calculated. The same procedures were followed in calculating per student costs of each vocational education track. Questionnaires were administered for gathering data regarding the family expenses in education. The added costs of repetition and dropping out were calculated by computing the actual schooling years.

The study utilized unpublished data, sent from the Department of Statistics, regarding the national manpower, and from the Ministry of Labor regarding the Palestinian and Jordanian migrants, and used the elaborate method for calculating the social and private internal rates of return (IRR) from the two categories. The calculations were made by solving the formula of elaborate method repeatedly by computer for each age group. The formula was solved by using the personal computer and the LOTUS 123 software package, version two. A proper program was prepared to serve this goal.

As an implication, the study calculated productivity of education rate, by using the Schultz-Denison equation, and utilizing the major findings of the IRRs for each education level. The rate of education contribution to productivity growth rate is estimated to be 4.53 percent, for 1983/1984. (Abstract shortened with permission of author.)