1. Lifelong Learning in the Global Knowledge Economy
Implications for Developing Economies

2. Characteristics of a Globalized Knowledge Economy
Rapid and continuous change
Quality as important as price
Organizational changes at firm level
Short job tenure in competitive sectors
Fundamentals of macro stability, openness, competition, good governance
“Globalizers” increased trade relative to income while "nonglobalizers" trade less today than they did 20 years ago
Growth for "globalizers" from 1% in 1960s to 5% in the 1990s; "nonglobalizers" growth decline from 3% in 1970s to 1% in 1980s and 1990s
Vietnam: increased exports led to increased incomes, decreased poverty from 75% to 37%
Trade reduced poverty in India: annual income growth 4%
In China, Uganda, and Mexico trade and FDI brought higher wages and reduced poverty

3. Main messages I Knowledge economy puts premium on learning
Requires multi-sectoral, cross-ministerial strategy
Focus on equity
Expand access to learning –home, school, job – through multiple learning mechanisms

4. Main messages II
Raise quality by changing content, pedagogy, incentives
Variety of financing mechanisms needed: affordable, sustainable, market-based
Articulation across education and training to facilitate lifelong learning
Articulate cross-Ministerial, lifelong learning strategy while building diverse partnerships

5. Korea: Sequenced Expansion
By 2000, Korea had Universal Primary and Secondary School Enrollment
120
100 80
Gross Enrollment Ratios
Primary 60
Middle School
High School
Tertiary
Korea achieved in 50 years the educational expansion that USA achieved in 100
Investment in tertiary did not increase significantly until secondary was near universal
Korea’s high educational levels enabled country to pursue high productivity growth
(Source: The New Growth Agenda, Vol. II, Ch. 6) 40 20
1970
1980
1990
2000

6. Learning in the Knowledge Economy
Then
Information based
Rote learning
Teacher directed
Just in case
Formal education only
Directive based
Learn at a given age
Now
Knowledge creation/application
Analysis and synthesis
Collaborative learning
Just in time
Variety of learning modes
Initiative based
Incentives, motivation to learn

7. Education Indicators 140 119 120 106 103 97 100 GER (%) 80 70 69 62 6046 36 40
Countries by income-level (1997)
Indicators High Middle Low
GNP per capita ($) 28,130 1,
Preprimary GER (%)
Primary GER (%)
Secondary GER (%)
Tertiary GER (%)
Adult Illiteracy Rate (%) 20 12 8
Pre-Primary
Primary
Secondary
Tertiary
High Income
Middle-income
Low-income

8. Brazil: Returns to Schooling in 1982 and 1998
Blom, Verner and Holm-Nielsen 2001

9. Not Prepared for Knowledge Jobs

10. Learner-centered: Skills and Pedagogy
Learner: motivation, adaptability, analytical thinking, communication, problem solving
Teacher: from director to facilitator
Classroom: learn by doing, team work, individual learning plans
Institution: professional community centered on achievement

11. Traditional Learning Differs from Lifelong Learning
Teacher is source of knowledge
Learners receive knowledge
Learners work by themselves
Tests given to prevent progress
All learners do same thing
Teachers receive initial training
Good learners identified
Lifelong learning
Educators are guides to knowledge
People learn by doing
People learn in groups
Assessments guide learning
Individual learning plans
Educators are lifelong learners
Access to lifetime learning

12. Alternative Delivery Mechanisms
Increase access to learning opportunities
Increase variety of ways learners can learn
Give access to knowledge resources
Enhance quality through technology
learning by doing
self-directed learning
continuously updated curriculum
Networks of good practice

13. Financing Lifelong Learning
Expenditures increase, public resources limited
Priority for public: basic education
Balance between subsidies and market mechanisms given that
Benefits both private and public
Access to capital uneven

14. Variety of finance mechanisms: affordable, sustainable, market-based
Cost-recovery
Subsidies
Traditional loan
Voucher
Human capital contracts
Learning accounts
Graduate tax
Savings accounts
Income contingent loans
Tax credits
Entitlements: combination loan/voucher

15. Governance for Lifelong Learning
Requires multi-sectoral, cross-ministerial strategy w/ private sector, civil society
Enabling environment built on incentives
Focus on equity to make lifelong learning accessible/affordable to poor and vulnerable
Demand-driven policy framework, enhanced accountability & transparency

16. Summary Premium on learning
Expand access to learning through alternative mechanisms and financing
Raise quality by changing content, pedagogy, incentives

17. Harry Anthony Patrinos