1111 2005 edition of Education at a Glance

Under embargo until13 September 2005, 11:00 Paris time

2222

3333 In the dark……all schools and education systems look the same…

But with a little light….

4444

But with a little light….

…important differences become apparent….

5555 Main headings Strong educational

investment Consistently rising

investment in education High investment in pre-

primary education, rapidly growing participation

Strong and improving performance in primary education

Above-average instructional hours and teacher salaries at school

Public/private cost-sharing in line with individual and social benefits

Strong public investment in pre-primary education

Growing private share in tertiary spending

Strong internal efficiency of higher education and high and growing labour-market returns

Large class sizes and high teaching load

Limited resources for capital investment in higher education

Comparative advantage in higher education output diminishing

Below-average increase in enrolments and entry

Declining market share in foreign enrolment

Above average participation in non-formal continuing education and training, but

low intensity of courses large disparities in

participation patterns Below-average output for

baseline qualifications With large labour-market

penalties

6666

The UK stands out in showing consistent rises in educational

investment

…in terms of a rising share of GDP devoted to education…in terms of a growing educational share in the public

budget

Between 1995 and investment in primary and secondary education increased in the UK by 36% (OECD average increase 26%)…

… while spending on tertiary education grew, at 18%, only half as fast as at the OECD average level (OECD average increase 36%)

Spending on education also grew faster than GDP From 4.3% of GDP in 1990 to 5.5% in 1995 to 5.9% in 2002

(a value that is now above the OECD average (5.8%) A growing share of a public budget that shrunk relative to

GDP is devoted to education Spending on institutions plus public subsidies to households

rose from 11.4% in 1995 to 12.7% in 2002

7777 Expenditure on educational institutions as a percentage of GDP (2002)

Primary and secondary education

0

1

2

3

4

5

6

Icel

and

Sw

eden

New

Zea

land

Nor

way

Port

ugal

Den

mar

k

Bel

gium

Sw

itze

rlan

d

Fra

nce

Pola

nd

Luxe

mbou

rg

Fin

land

Uni

ted

Sta

tes

Aus

tria

Uni

ted

Kin

gdom

Aus

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ia

Mex

ico

Ital

y

Net

herl

ands

Kor

ea

Hun

gary

Ger

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and

Spa

in

Cze

ch R

epub

lic

Slo

vak

Rep

ublic

Jap

an

Gre

ece

Tur

key

EU

OECD

% of GDPPublic Private Total 95

B2.1

8888 Expenditure on educational institutions as a percentage of GDP (2002)

Tertiary education

0

0.5

1

1.5

2

2.5

3

Uni

ted

Sta

tes

Kor

ea

Den

mar

k

Sw

eden

Fin

land

Aus

tral

ia

New

Zea

land

Nor

way

Pola

nd

Bel

gium

Mex

ico

Net

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ands

Irel

and

Hun

gary

Spa

in

Gre

ece

Tur

key

Icel

and

Fra

nce

Aus

tria

Uni

ted

Kin

gdom

Ger

man

y

Jap

an

Port

ugal

Ital

y

Cze

ch R

epub

lic

Slo

vak

Rep

ublic

3 ,5 EU

OECD

% of GDP

Public Private Total 95

B2.1

9999 Public expenditure on education as a percentage of total public expenditure (1995, 2001)

0

5

10

15

20

25

30

Mex

ico

New

Zea

land

Kor

ea

Nor

way

Icel

and

Den

mar

k

Uni

ted

Sta

tes

Aus

tral

ia

Sw

eden

Irel

and

Sw

itze

rlan

d

Uni

ted

Kin

gdom

Fin

land

Port

ugal

Bel

gium

Aus

tria

Spa

in

Fra

nce

Net

herl

ands

Jap

an

Hun

gary

Ital

y

Ger

man

y

Cze

ch R

epub

lic

Gre

ece

Slo

vak

Rep

ublic EU

OECD

% of total public

expenditure

Below primary and unclassified Primary and secondary

Tertiary education Total 95

B4.1

10101010 Annual expenditure per studenton educational institutions, in equivalent US dollars converted using PPPs

USD 0

USD 2,000

USD 4,000

USD 6,000

USD 8,000

USD 10,000

USD 12,000

United Kingdom

EU

OECD

Spending at the pre-primary level UK has highest spending level in the OECD An above-average share comes from public sources A significant increase since 1998…… while, at the same time, the rate of participation of 4-year-olds and under as a percentage of 3-4-

year-olds increased from 51% in 1998 to 77% in 2002

Spending in primary and secondary schools Roughly average spending…

…together with long school days (Scotland ranks 1st, England 8th)…and above-average teacher salaries, although these have risen less than half as fast as on average in OECD countries

… result, at 26 students per class, in one of the largest class sizes (only Turkey, Japan and Korea have larger class sizes and all but nine countries have between 16 and 21 students per class)

With only 75% of current expenditure devoted to compensation of staff, schools have much greater capacity to purchase other goods and services than do OECD countries on average (81%)

In primary and secondary education, spending increased by 36% while enrolments rose by 21%, resulting in a 12% per-student increase between 1995 and 2002 (OECD average increase 26%)

The spending choices may be effective– Student performance at 4th grade level improved significantly in both mathematics and science between 1995 and 2003 (TIMSS)

11111111 Cumulative expenditure on educational institutions per student over the average duration of tertiary studies

Annual expenditure on educational institutions per student multiplied by average duration of studies, in equivalent US dollars converted using PPPs (2002)

0

10000

20000

30000

40000

50000

60000

70000

80000

Swed

en

Aus

tria

Net

herl

ands

Den

mar

k

Ger

man

y

Fin

land

Ital

y1

Uni

ted

Kin

gdom

Jap

an

Fra

nce

Spa

in

Hun

gary

1

Irel

and

Aus

tral

ia

Gre

ece

Icel

and

Mex

ico

Kor

ea

Equivalent US dollars converted

using PPPs

Each segment of the bar represents the annual expenditure per student. The number of segments represents the number of years a student remains on average in tertiary education.

B1.3

12121212Changes in spending per student

in tertiary educationrelative to different factors (1995=100, 2002 constant prices )

174

141

134 132129 129

121 121118 118 117

110105 104 103 102 100 100

93

85 84 84

107112

80

100

120

140

160

180

200

220

Tur

key

Swit

zerl

and

Gre

ece

Spa

in

Den

mar

k

Irel

and

Mex

ico

Ital

y

Jap

an

Aus

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Fra

nce

Ger

man

y

Nor

way

Fin

land

Net

herl

ands

Port

ugal

Hun

gary

Uni

ted

Kin

gdom

Aus

tral

ia

Swed

en

Pola

nd

Slo

vak

Rep

ublic

Cze

ch R

epub

lic EU

OECD

I ndex of change (1995=100)

Change in expenditure Change in the number of studentsChange in expenditure per student

B1.4

13131313 Share of private expenditure on schools(1995, 2002)

0

10

20

30

Kor

ea

Germ

any

Mexic

o

Aus

tralia

Uni

ted K

ingd

om

Swit

zerl

and

New

Zeal

and

Tur

key

Uni

ted S

tate

s

Japa

n

Fra

nce

Gre

ece

Spa

in

Hun

gary

Net

herl

ands

Ice

land

Aus

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Ire

land

Ita

ly

Pola

nd

Cze

ch R

epub

lic

Slo

vak R

epu

blic

Denm

ark

Fin

land

Nor

way

Swed

en

Port

ugal

EU

OECD

Private share Private share 95

Primary, secondary and post-secondary non-tertiary education

%

An above-share of spending on schools comes from private sources…

… and it has increased at the highest rate after Switzerland (in percentage points)

Note that this covers all types of expenditure from private sources, irrespective of whether the institution concerned is public or private

B3.1

14141414 Share of private expenditure on higher education institutions (1995, 2002)

0

10

20

30

40

50

60

70

80

Kor

ea

Japa

n

Uni

ted S

tate

s

Aus

tralia

New

Zeal

and

Pola

nd

Mexic

o

Uni

ted K

ingd

om

Spa

in

Net

herl

ands

Ita

ly

Hun

gary

Slo

vak R

epu

blic

Fra

nce

Ire

land

Belg

ium

Cze

ch R

epub

lic

Swed

en

Tur

key

Port

ugal

Germ

any

Aus

tria

Ice

land

Fin

land

Nor

way

Denm

ark

Gre

ece EU

OECD

Private share OECD Private share 95 Linear (OECD)

Tertiary education%

At the tertiary level, the private share rose from 20% to 28%, the fastest rise after Australia…

… whereas public spending rose only at 6% (compared with an OECD average increase of 38%)

The reverse is true for pre-primary education, here the UK funding was at 96% public significantly larger than the OECD average of 83%

B3.1

16161616

17171717

Growth in high-level qualifications

The massive growth in participation……has now levelled off

18181818

0

10

20

30

40

Uni

ted

Sta

tes

Den

mar

k

Nor

way

Can

ada

Net

herl

ands

Swed

en

Swit

zerl

and

Hun

gary

Aus

tral

ia

Uni

ted

Kin

gdom

Fin

land

Icel

and

Jap

an

Ger

man

y

Pola

nd

Fra

nce

Cze

ch R

epub

lic

New

Zea

land

Irel

and

Spa

in

Kor

ea

Slo

vak

Rep

ublic

Bel

gium

Gre

ece

Tur

key

Mex

ico

Ital

y

Aus

tria

Luxe

mbou

rg

Port

ugal

1960's 1970's 1980's 1990's

Growth in university-level qualificationsApproximated by the percentage of persons with ISCED 5A/6 qualfication in the

age groups 55-64, 45-55, 45-44 und 25-34 years (2003)

14

23

3

21

9

10

A1.3a

19191919 Tertiary-type A graduation rates, by duration (2003)Percentage of graduates to the population at the typical age of graduation

%

0

10

20

30

40

50

60A

ustr

alia

Fin

land

Icel

and

Pola

nd

Den

mar

k

Nor

way

Uni

ted K

ingd

om

Irel

and

Sw

eden

Hun

gary

Jap

an

Uni

ted S

tate

s

Spa

in

Ital

y

Fra

nce

Slo

vak

Rep

ublic

4

Sw

itze

rlan

d

Ger

man

y

Aus

tria

Cze

ch R

epub

lic4

Tur

key

More than 6 years5 to 6 years3 to less than 5 years

The UK has an above-average university-level completion rate… mostly from short courses

The UK ranks 4th with regard to the number of science graduates as a percentage of 100,000 employed in the age group 25-35 and 1st among women

… but rapid growth in university-level qualifications has now levelled off and the UK no longer tops graduation rates as was still the case in 2000

Tertiary enrolment grew at much lower rates than at the OECD average level (18% between 1995 and 2002, compared with an OECD average of 28%)

20202020

0

10

20

30

40

50

60

70

80

90

Aus

tral

ia

Sw

eden

Icel

and

Fin

land

Pola

nd

New

Zea

land

Uni

ted

Sta

tes

Hun

gary

Net

herl

ands

Kor

ea

Ital

y

Spa

in

Den

mar

k

Uni

ted

Kin

gdom

Slo

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Rep

ublic

Jap

an

Irel

and

Fra

nce

Ger

man

y

Sw

itze

rlan

d

Mex

ico

Bel

gium

Aus

tria

Cze

ch R

epub

lic EU

OECD

Tertiary- type B Tertiary- type A OECD- B

Entry rates into tertiary education (2003)Sum of net entry rates for single year of age in tertiary-type A and

tertiary-type B education

%

… and entry rates to higher education are, at 48%, now well below the OECD average of 53% In 1998 the picture was still different, with a UK entry rate of 48% significantly above the OECD average

of 40% But the success rate is, at 83%, significantly better than at the OECD average level (70%) And entry rates at at the non-university tertiary level remain well above the OECD level

In fact, here the UK improved slightly from the 6th to the 5th place among 16 countries with comparable data

C2.1

21212121

22222222

Tertiary education is rapidly becoming an international domain

…and the UK remains one of the most attractive student destinations…

…with growing foreign enrolment…

…although its international market share has declined faster than that of any other country.

23232323

Australia, 8.9

United Kingdom; 12.1 Germany, 11.4

J apan, 4.1

Russ. Federation, 3.2

Sweden, 1.2

Malaysia, 1.3New Zealand; 1.2

Austria; 1.5

Netherlands; 1

Other OECDOther non-OECD

Switzerland, 1.6I taly; 1.7

Belgium, 2

Spain; 2.5

France; 10.5

United States, 27.7

Distribution of foreign students by country of destination (2003)

Percentage of foreign tertiary students reported to the OECD who are enrolled in each country of destination

In 2003, 2.1 million people studying in OECD countries were foreign students

An 11.5% overall increase But UK saw the fastest decline in market

share among OECD countries, from 16.2% in 1998 to 13.5% in 2003

24242424

0

2

4

6

8

10

12

14

16

18

20

Aus

tral

ia

Sw

itze

rlan

d

Aus

tria

New

Zea

land

Bel

gium

Uni

ted

Kin

gdom

Ger

man

y3

Fra

nce

Den

mar

k

Sw

eden

Irel

and

Nor

way

Cze

ch R

epub

lic

Icel

and

Net

herl

ands

3

Port

ugal

Uni

ted

Sta

tes

Hun

gary

Spa

in

Fin

land

Gre

ece

Jap

an

Ital

y

Slo

vak

Rep

ublic

Tur

key3

Pola

nd3, 4

Kor

ea

2003 1998

Percentage of foreign students in tertiary education (1998, 2003)

Percentage of foreign students to total enrolment in tertiary education

2

3

4

6

7

9

1

5

8

%

C3.1

25252525

26262626

Stagnation in baseline qualifications

27272727

0

10

20

30

40

50

60

70

80

90

100U

nite

d S

tate

s

Ger

man

y

Cze

ch R

epub

lic

Nor

way

Den

mar

k

Can

ada

Slo

vak

Rep

ublic

Swed

en

Aus

tria

Jap

an

New

Zea

land

Swit

zerl

and

Uni

ted K

ingd

om

Fin

land

Net

her

land

s

Hun

gary

Luxem

bou

rg

Icel

and

Fra

nce

Aus

tral

ia

Bel

gium

Pola

nd

Irel

and

Kor

ea

Gre

ece

Ital

y

Spa

in

Tur

key

Mex

ico

Port

ugal

1960's 1970's 1980's 1990's

Baseline qualificationsApproximated by the percentage of persons with uppersecondary

qualfications in the age groups 55-64, 45-55, 45-44 und 25-34 years (2003)

24

1

2

12

22

14

8

1

9

13

The UK has falls well behind the OECD average with adult attainment at the upper secondary level*

* equivalent to 5 or more GCSEs at grades A to C or NVQ Level 2 or higher

With serious consequences for those who have not completed this level– While UK employment rates among university and upper-secondary graduates are well above the OECD average, for those who failed to

attain the upper secondary level they remain, at 62% for men and 47% for women, significantly below the OECD averages of 73% and 49%– Among those without upper secondary qualifications 37% earn half or less of the national median earnings, and only 1% are in the group

of top earners, whose earnings exceeds twice the OECD median– These earnings penalties are much larger than at the OECD average

– Likelihood of unemployment 1.4 times as high as for upper secondary graduate Note that the youngest individuals in this comparison (25-year-olds in 2003) passed the age of 16 in 1994

Very modest progress with participation at age 17 Only Greece, Mexico, New Zealand, Portugal and Turkey had a lower proportion of their 17-year-old population enrolled…while at age 20, the UK’s participation rate is above OECD average level

28282828

29292929

Initial education alone can no longer satisfy the rising and changing demand for skills

An above-average share participate in non-formal continued education and training…

…even though the intensity of participation is low……and participation rates are lowest among those who

need it most

30303030

0

10

20

30

40

50

60

70

Den

mar

k

Sw

eden

Uni

ted

Sta

tes

Fin

land

Sw

itze

rlan

d

Uni

ted

Kin

gdom

Can

ada

1

Aus

tria

Slo

vak

Rep

ublic

Fra

nce

Bel

gium

Luxe

mbou

rg

Ger

man

y

Irel

and

Cze

ch R

epub

lic

Pola

nd

Port

ugal

Spa

in

Ital

y

Hun

gary

Gre

ece

OECD

All levels of education

Lower upper secondary education

Upper secondary and post- secondary non- tertiary education

Tertiary education

Participation of the labour force in non-formal job-related continuing education and training (2003)

%

However, the intensity of participation in non-formal job-related education and training is comparatively low in the UK

With the mean number of hours per participant in the labour force at 28 hours well below the OECD average of 62 hours

C6.2

31313131

0

5

10

15

20

25

30

35

40

45

50

Sw

eden

Den

mar

k

Uni

ted

Sta

tes

Fin

land

Sw

itze

rlan

d

Uni

ted

Kin

gdom

Can

ada

1

Slo

vak

Rep

ublic

Fra

nce

Aus

tria

Bel

gium

Luxe

mbou

rg

Ger

man

y

Cze

ch R

epub

lic

Irel

and

Pola

nd

Port

ugal

Spa

in

Ital

y

Hun

gary

Gre

ece

OECD

Total Employed Unemployed Labourforce

Participation of the labour force in non-formal job-related continuing education and training (2003)

%

C6.3

32323232

0

10

20

30

40

50

60

70

Sw

eden

Den

mar

k

Fin

land

Uni

ted

Sta

tes

Uni

ted

Kin

gdom

Sw

itze

rlan

d

Can

ada1

Slo

vak

Rep

ublic

Aus

tria

Fra

nce

Bel

gium

Irel

and

Luxe

mbou

rg

Ger

man

y

Cze

ch R

epub

lic

Pola

nd

Port

ugal

Spa

in

Ital

y

Hun

gary

Gre

ece

OECD

Total

Resource industries

Goods- producing industries Lower- tier services

Upper- tier services

Participation of the labour force in non-formal job-related continuing education and training (2003)

%

C6.5

33333333

The individual and social returns to qualifications

34343434

60

80

100

120

140

160

180

200

220

240A

ustr

alia

Bel

gium

Can

ada

Den

mar

k

Fin

land

Fra

nce

Ger

man

y

Hun

gary

Irel

and

Ital

y

Kor

ea

Luxe

mbou

rg

New

Zea

land

Nor

way

Spa

in

Sw

eden

Sw

itze

rlan

d

Uni

ted

Kin

gdom

Uni

ted

Sta

tes

OECD

Males below upper sec Females below upper sec.

Males Tertiary-B Females Tertiary-B

Males Tertiary-A Females Tertiary A

The earnings advantage of educationRelative earnings of 25-64-year-olds with income from employment

(upper secondary education=100)In the UK, females with a tertiary-Type A qualification earn, on average, twice as much than males who completed only upper secondary education (OECD average 162%).

In the UK, males without upper secondary education earn 73% of

those with it (OECD average 82%).

In the UK, higher education pays off even more so than at the OECD average level

Rising tertiary level qualifications seem generally not to have led to an “inflation” of the labour-market value of qualifications.

In all but three of the 20 countries with available data, the earnings benefit increased between 1997 and 2003, in Germany, Italy and Hungary by between 20% and 40% (UK 9%).

Growing benefits in many of the countries with the steepest attainment growth

A9.1

35353535 Distribution of 25-64-year-olds by level of earnings and educational attainment

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%More than 2 times the median

More than 1.5 times the medianbut at or below 2.0 times themedianMore than the median but at orbelow 1.5 times the median

More than half the median butat or below the median

At or below half of the median

OECD average UK

A9.4a

36363636Private internal rates of return (RoR) for an individual obtaining a university-level degree (ISCED 5/6) from an upper secondary and post-secondary non-tertiary level of education (ISCED 3/4)

(2002)MALES

- 5 0 5 10 15 20

Belgium

Denmark

Finland

France

I taly

Netherlands

Norway

Sweden

Switzerland

United States

at age 40, no fees, income/male

at age 40, fees, income/male

I mmediately to higher ed/male

A9.5

37373737Private internal rates of return (RoR) for an individual obtaining a university-level degree (ISCED 5/6) from an upper secondary and post-secondary non-tertiary level of education (ISCED 3/4)

(2002)FEMALES

0 5 10 15 20

Belgium

Denmark

Finland

France

I taly

Netherlands

Norway

Sweden

Switzerland

United States

at age 40, no fees,income/female

at age 40, fees, income/female

I mmediately to higher ed/female

A9.5

39393939Enhancements in human capital contribute

to labour productivity growthAverage annual percentage change (1990-2000)

-2

-1

0

1

2

3

4

5

Irel

and

Fin

land

Sw

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Den

mar

k

Port

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Aus

tral

ia

Uni

ted

Sta

tes

Uni

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Kin

gdom

Ital

y

Nor

way

Ger

man

y

Can

ada

Fra

nce

Net

herl

ands

New

Zea

land

Hours worked Level of education

Hourly GDP per efficient unit of labour Labour productivity

•In the UK, improvements in educational attainment between 1990 and 2000 contributed to labour productivity much more than in the United States and in any of the other 14 countries except

Portugal

A10

40404040 Overview Strong educational

investment Consistently rising

investment in education High investment in pre-

primary education, rapidly growing participation

Strong and improving performance in primary education

Above-average instructional hours and teacher salaries at school

Public/private cost-sharing in line with individual and social benefits

Strong public investment in pre-primary education

Growing private share in tertiary spending

Strong internal efficiency of higher education and high and growing labour-market returns

Large class sizes and high teaching load

Limited resources for capital investment in higher education

Comparative advantage in higher education output diminishing

Below-average increase in enrolments and entry

Declining market share in foreign enrolment

Above average participation in non-formal continuing education and training, but

low intensity of courses large disparities in

participation patterns Below-average output for

baseline qualifications With high labour-market

penalties

41414141 Further information

www.pisa.oecd.org– All national and international publications– The complete micro-level database

email: pisa@oecd.org

Andreas.Schleicher@OECD.org

…and remember:

Without data, you are just another person with an opinion