The role of higher education in economic development and reducing the unemployment rate: a comparative study of developing countries

Economic Annals-XXI: Volume 207, Issue (1-2), Pages: 10-15

Citation information:
Abdullaeva, B., Abdullaev, D., Kholmurodova, D., Rakhmatova, F., & Tashtemirova, G. (2024). The role of higher education in economic development and reducing the unemployment rate: a comparative study of developing countries. Economic Annals-XXI, 207(1-2), 10-15. doi: https://doi.org/10.21003/ea.V207-02

Barno Abdullaeva
PhD (Mathematics),
Professor,
Department of Mathematics and Information Technologies,
Vice-Rector for Scientific Affairs,
Tashkent State Pedagogical University
103 Yusuf Xos Xojib ko’chasi Str.,Tashkent, 100070, Uzbekistan
barno.abdullaeva.72@mail.ru
ORCID ID: https://orcid.org/0000-0003-3648-4601

Diyorjon Abdullaev
PhD (Pedagogics),
Department of Scientific Affairs,
Vice-Rector for Scientific Affairs,
Urgench State Pedagogical Institute
1-A Gurlan Str., Urgench, 220100, Uzbekistan
editory1001@gmail.com
ORCID ID: https://orcid.org/0000-0001-8560-5604

Dilnoza Kholmurodova
PhD (Pedagogics),
Dean, Faculty of Joint Education Programs,
Samarkand State Institute of Foreign Languages
93 Bustonsaroy Str., Samarkand, Samarkand Region, 140104, Uzbekistan
sherzodbek4810@mail.ru
ORCID ID: https://orcid.org/0009-0006-1747-4685

Feruza Rakhmatova
PhD (Pedagogics),
Associate Professor,
Head, Department of Educational Theory of Pedagogy,
Jizzakh State Pedagogical University
4 Rashidov Str., Jizzax, Jizzax viloyati, 130100, Uzbekistan
laylo.djuraeva@gmail.com
ORCID ID: https://orcid.org/0000-0002-5607-8136

Gulnoza Tashtemirova
PhD (Pedagogics),
Department of Primary Education Pedagogy,
Tashkent State Pedagogical University
103 Yusuf Xos Xojib ko’chasi Str., Tashkent, 100070, Uzbekistan
author.uzb@mail.ru
ORCID ID: https://orcid.org/0000-0001-5545-661X

The role of higher education in economic development and reducing the unemployment rate: a comparative study of developing countries

Abstract. Education is the basic pillar and foundation of all-round development in any country. The impact of higher education on subject development is undeniable. Applicable education alignment with the industry and business in society is required to economic growth, however, the unbridled and unplanned increase of higher education institutions and the number of students is not the basis for achieving development.

In this research, an attempt is made to investigate the effect of research and development costs in the higher education sector in developing countries on economic growth in three areas: the quantitative indicators of higher education, the application and efficiency of higher education, and the creation of employment. The method of this comparative study is quantitative and the data collection of the country of Uzbekistan has been analyzed using a statistical approach.

The results of model estimation using the data of 2014-2023 for the country of Uzbekistan show that the amount of research and development expenses in the higher education sector has a positive and significant effect on economic growth. Also, in the estimated model, the amount of growth of the workforce and the amount of physical capital (non-cash capital of the company) have a direct impact on economic growth. The amount of research and development expenses in the higher education sector with the variable of applied education has the most impact on the growth of manpower and the amount of physical capital stock on the growth of the gross domestic product.

Keywords: Economic Growth; Higher Education; Employment; Workforce; Expenses; Costs

JEL Classifications: Е24; Е41; Е64; I18; J28; J31

Acknowledgements and Funding: The authors received no direct funding.

Contribution: The authors contributed equally to this work.

Data Availability Statement: The dataset is available from the authors upon request.

DOI: https://doi.org/10.21003/ea.V207-02

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Received 9.01.2024
Received in revised form 19.01.2024
Accepted 23.01.2024
Available online 22.02.2024