Meet the typical student

by Ignacio Marin and Corinne Heckmann
Innovation and Measuring Progress division, Directorate for Education and Skills

With the new academic year beginning (in the Northern hemisphere at least), more than 23 million people across the OECD and G20 countries will be heading to university for the first time this year. As the latest Education Indicators in Focus brief shows, these new students will be a more diverse group than ever before – but some things don’t change.

Who are the average new entrants?

If you look at the averages, new entry students these days will be female, 22 years old, and about to embark on over four years of study in the social sciences. But these averages conceal wide variations between nations – in some countries such as Belgium, Japan and Indonesia, students still generally enter university straight from school, whereas in places like Iceland, New Zealand and Sweden the average age is over 25, with young people tending to spend time in the workforce before going on to full time study. Completion rates vary too. On average just 70% of students will graduate with a degree, with women more likely to succeed than men, but in Japan the graduation rate is over 90% while in Sweden and Hungary it’s less than half. Not that that necessarily means their education is wasted – some students drop out because they have already found a well-paying job. In Sweden and the United States, modular systems mean students can dip in and out of university and the labour market, gradually building up the credit for a degree.

Social sciences, not sciences
Social sciences, business and the law stand out as the most popular fields of study almost everywhere, except in Finland (where engineering heads the list), and Korea and Saudi Arabia where humanities are more popular. The non-social sciences lag behind, especially among women, with 39% of male students and just 14% of female ones choosing science-related fields. In Belgium and Japan the figure was just 5% for women and even in the best performing countries (Greece, Indonesia, Italy and Mexico) just 19% of female students went for the sciences. Among the men the spread was even wider: while 58% of male students in Finland chose science-related fields – including engineering, manufacturing and construction – in Argentina it was as low as 18%.

Widening access – up to a point
Access to higher education is widening everywhere, but particularly in the fast-growing G20 economies. China has now overtaken the United States in the number of university students with India taking third place. In OECD countries 60% of young people go to university – up from 39% just 15 years earlier and students are more likely than ever to go abroad for an education. But not all the barriers to tertiary education have been swept away. Coming from an educated background still makes young people almost twice as likely to enter university than the average – and in some places more than three times as likely. Much as things have changed, there’s still more to be done to give young people an equal start.

For more information
On this topic, visit: 
Education Indicators in Focus: www.oecd.org/education/indicators 
On the OECD’s education indicators, visit:
Education at a Glance 2013: OECD Indicators: www.oecd.org/edu/eag.htm

What do students expect to do after finishing upper secondary school?

by Guillermo Montt
Analyst, Directorate for Education

The expansion of the knowledge-based economy and technological progress has created a large market of highly paid jobs for individuals who are highly skilled. Moreover, in much of the industrialised world, the demand for highly-skilled individuals is rising faster than supply, as mirrored in rising wage premia on university-level qualifications. Leveraging the talent of all individuals, whatever their social background, must therefore be an important goal for educators and policy makers alike.

The latest edition of PISA in Focus summarises findings from the PISA Report Grade Expectations: How Marks and Education Policies Shape Students’ Ambitions. PISA reveals that the range of educational expectations that students hold in different countries striking: In Korea, four out of five 15-year-olds expect to graduate from university, while in Latvia it is one out of four. Despite the major changes in skill requirements that most labour-markets experienced in the past decades, and the rapidly rising number of university graduates, the educational expectations of students in school have remained surprisingly stable.

In all countries and economies, the students who expect to complete university education perform significantly better in math and reading than students who do not expect to complete that level of education.  However, while performance on PISA tends to be associated with educational expectations, the data also show that not all 15-year-olds with advanced knowledge and skills aspire to high levels of further education and not all 15-year-olds who aspire to a university degree possess the knowledge and skills needed to pursue such pathways successfully.

The percentage of low-performing students who expect to complete a university degree is relatively high in Australia, Ireland, Korea, Mexico, Serbia, Singapore and Trinidad and Tobago. These school systems therefore need to capitalise on their students’ desire to continue their education by encouraging greater engagement with school and offering better opportunities to learn so that low-achieving, but ambitious, students can improve their performance and have a better chance of succeeding. The proportion of high-performing students who do not expect to continue on to post-secondary education is relatively large – more than 10% – in Austria, Hong Kong-China, Iceland and Italy. These school systems should aim to raise their students’ expectations by, among other measures, enhancing engagement with school and ensuring that placement in academic or vocational programmes is based on merit, not on students’ background. Mismatches between expectations and actual abilities can result not just in personal disappointments but also incur important economic and social costs.

Students who hold ambitious – yet realistic – expectations about their educational prospects are more likely to put effort into their learning and make better use of the educational opportunities available to them to achieve their goals. Therefore educational expectations, in part, become self-fulfilling prophecies. Education systems need to strike a careful balance between promoting ambitious expectations among students – because the labour-market demand for high-level skills is surging and will probably continue to grow in the future – promoting skill acquisition so that more students are able to fulfil those expectations but also not neglecting those students who expect to complete their studies upon graduation from secondary school. Although most school systems are committed to expanding access to tertiary education, around 25% of students expect to finish their formal education at the end of upper secondary school. Education systems must provide these students with the skills needed for a smooth transition into the labour market and adulthood.


Links:

For more information on PISA: www.oecd.org/pisa/

PISA in Focus No. 23: What do students expect to do after finishing upper secondary school?

Photo credit:  Graduate wordcloud / Shutterstock

What will the global talent pool look like in 2020?

by Pedro Garcia de León, Corinne Heckmann, and Gara Rojas González 
Innovation and Measuring Progress Division, Directorate for Education

The “global talent pool” can be described in a lot of different ways.  But in an era in which having a higher (tertiary) education is increasingly a minimum requirement for successful entry into the labour force, one way to quantify it is to look at the number of people around the world who are obtaining a higher education degree.

As the latest issue of the OECD’s series Education Indicators in Focus details, by that measure, the global talent pool is exploding across OECD and G20 countries. What’s more, it’s likely to grow far larger by the year 2020.

In the last decade alone, the number of younger adults with higher education degrees has grown at a remarkably fast clip. This is particularly true for non-OECD G20 countries like Argentina, Brazil, China, India, Indonesia, the Russian Federation, Saudi Arabia and South Africa, where the number of 25-34 year-olds with a higher education degree increased from 39 million in 2000 to an estimated 64 million in 2010. By contrast, the number of younger adults with higher education degrees in OECD countries increased from 51 million to an estimated 66 million during the same period.

In addition, the rapid expansion of higher education in non-OECD G20 countries has significantly altered the distribution of the talent pool among countries. A decade ago, one in six 25-34 year-olds with a higher education degree was from the United States, and a similar proportion was from China. Twelve percent came from the Russian Federation, and about 10% each were from Japan and India. But by 2010, China was at the head of the pack, according to OECD estimates, accounting for 18% of 25-34 year-olds with a tertiary education.  The United States followed with 14%, the Russian Federation and India each had 11%, and Japan had 7%. 

These trends are likely to intensify further in the years ahead. According to OECD projections, there will be more than 200 million 25-34 year-olds with higher education degrees across all OECD and G20 countries by the year 2020 – and 40% of them will be from China and India alone. By contrast, the United States and the European Union countries are expected to account for just over a quarter of young people with tertiary degrees in OECD and G20 countries. 

In fact, these figures may underestimate the future growth of the global talent pool, because a number of countries – notably China, the European Union countries, and the U.S. – are pursuing initiatives to increase higher education attainment rates even further. 

The explosive growth of the  talent pool raises a key question: With all of these highly-educated people emerging around the world, will the global labour market be able to absorb the increased supply?  
Evidence from science and technology occupations – key “knowledge economy” jobs – suggests that it can. Between 1998 and 2008, employment in science and technology occupations increased at a faster rate than total employment in all OECD and G20 countries with available data. The average annual growth rate was uniformly positive, ranging from 0.3% in China to 5.9% in Iceland. 

This consistently upward trend signals that the demand for employees in this knowledge economy sector hasn’t reached its ceiling. Applied to the overall labour market, the implication is that individuals from increasingly better-educated populations will continue to have good employment outcomes, as long as national economies continue to become more knowledge-based.  

As such, countries may be well-advised to pursue efforts to build their knowledge economies, in order to avoid skills mismatches and lower returns on education among their higher-educated populations in the future.

For more information
On this topic, visit:
Education Indicators in Focus: www.oecd.org/education/indicators 
On the OECD’s education indicators, visit:
Education at a Glance 2011: OECD Indicators: www.oecd.org/edu/eag2011 
On the OECD’s Indicators of Education Systems (INES) programme, visit:
INES Programme overview brochure (link)
See also: IMHE General Conference 2012 "Attaining and Sustaining Mass Higher Education", Paris, 17-19 September 2012
Chart source: OECD Database, UNESCO and National Statistics websites for Argentina,
China, India, Indonesia, Saudi Arabia and South Africa.

Increasing higher education access: one goal, many approaches

by J.D. LaRock
Senior Analyst, Innovation and Measuring Progress Division, Directorate for Education

Few would dispute that having a higher education is more important than ever to help people build positive economic futures and strengthen the knowledge economies of countries. Yet as the second issue of the OECD’s new brief series Education Indicators in Focus explains, OECD countries have adopted dramatically different strategies for increasing higher education access – both in terms of how higher education is financed, and in the level of financial support they provide to individuals seeking a degree.

For example, in countries with more progressive tax structures, such as Denmark, Finland, Iceland, Norway and Sweden, students pay low or no tuition fees and have access to generous public subsidies for higher education. Tuition fees are much higher in Australia, Canada, New Zealand, the Netherlands and the United States, but students in these countries also have access to significant financial support.

Before recent reforms in Japan and in Korea, students paid comparatively high tuition fees, but had relatively low access to public subsidies. Meanwhile, in Austria, Belgium, the Czech Republic, France, Ireland, Italy, Portugal, Switzerland, Spain and Mexico, students pay little or nothing for higher education, but have limited access to financial aid.

At a time when most OECD countries are experiencing surges in higher education enrolments – but also face significant budget constraints – which model stands a better chance of promoting higher education access and positive outcomes for students in the most equitable way? As it turns out, there’s something to be learned from several of them.

As detailed in the OECD’s thematic review of higher education, charging a moderate level of tuition fees – while simultaneously giving students opportunities to benefit from comprehensive financial aid systems – is an effective way for countries to increase access to higher education, stretch limited public funds, and promote equity by acknowledging the significant private returns that students receive from higher education.

In particular, access to robust financial aid seems to be the key.  For example, countries with especially well-developed student support systems – like Australia, New Zealand, the United Kingdom and the United States – all have above-average university entry rates, even though they also have comparatively high tuition fees.

At the same time, the type of financial aid countries offer is also critical. The OECD’s review suggests that financial aid systems that couple means-tested grants and loans that have income-contingent repayments not only promote access and equity at the front end of higher education, but also lead to better outcomes for students at the back end. Australia and New Zealand have used this approach to mitigate the impact of high tuition fees, encourage disadvantaged students to enter higher education, and reduce the risks of high student loan indebtedness. Other OECD countries that use this strategy include Chile, the Netherlands, the United Kingdom, and the United States.

Increasingly, countries are adjusting their higher education financing and support systems in other ways as well. For example, more countries have raised tuition fees for international students in recent years, in part to shore up the finances of their higher education systems. At least 14 OECD member and partner countries differentiate tuition fees among fields of study to account for the higher cost of operating some academic programmes.  Some countries like Australia have even attempted to link higher education charges to labour-market opportunities by lowering tuition fees for fields with skills shortages.

In an era of booming enrolments and tightening belts, it won’t be surprising if still more changes are on the horizon.

For more information
On this topic, visit:
Education Indicators in Focus
On the OECD’s education indicators, visit:
Education at a Glance 2011: OECD Indicators  www.oecd.org/edu/eag2011
On the OECD’s Indicators of Education Systems (INES) programme, visit:
INES Programme overview brochure

Related blog post:
Higher education: an insurance policy against global downturns

Chart excludes OECD countries for which specific data on public subsidies is not available.
Source: Education at a Glance 2011: OECD Indicators, Indicator B5 (www.oecd.org/edu/eag2011).