However, although there is the point of an improved wage upon those who are not educated, student may be put off due to costs incurred in higher education. The average debt, discovered in a survey for university graduates, current students and sixth formers was over £10,000. The average was estimated at £13,252 This is a daunting setback for students as many will wish to leave university on a fair footing to make their lives, however it is very likely that (even with a part-time job) they will leave university heavily in debt. Regardless of how daunting this may be, students should still be encouraged to say on to higher education because, although the costs forced upon the student will be somewhat unnerving, in the short run the debt can be cleared, and in the long run they can make considerable financial gains over those who did not go into higher education.
These costs are not only the necessary books and tuition fees, but the costs also branch from another (non economically orientated) reason for going into university education. The social life of students is seen to be one of the integral parts of being a student. The costs incurred for this are very large, however when people think of students, they don’t usually think of bookworms, they think of the student lifestyle or both work AND play. The cost of entertainment and alcohol on average alone far exceeds that of books at around £37 per week. This implies the weight students put on their social life.This social networking many students go through (making friends, meeting new classmates e.t.c.) is a large incentive. It gives students a larger basis of cultures, opinions, ideals and therefore allows them to become generally more knowledgeable and tolerable of people in society. This new social life around equal academics will result in the student leaving university more sophisticated, perspicacious and worldly. This does not only benefit the individual, but benefits society as a whole. With more students graduating from university, society can become more tolerable and sophisticated and fair. Therefore the social life is another reason to encourage students into higher education; the benefits to the individual (and society as a whole) outweigh the costs.
Another economical reason is that students which study towards a degree will learn skills which are high in demand but little in supply. Such skills can include advanced writing skills, historian skills, mathematical skills, teamwork and oration skills. In a sense, the skills can also go hand in hand with knowledge. They are themselves knowledge, but general information picked up from the topic is also high in demand. This can have a number of benefits both for the individual and for the economy as a whole. Firstly the main benefit for the individual is, due to the large demand for the many skills picked up, is the increased chance of gaining a job - especially in the area that they want. Employers want an employee to go into work with knowledge of what they are about and what goes on. The want to improve their firm and one way to do this is to hire highly skilled, very knowledgeable staff. For example, a bank may need a new accountant. If one of the people who applied for the job had a degree in accountancy, their chances of being successful in their application greatly increase. Firms will also be willing to pay large sums of money to entice university educated workers as they are seen to be scarce.
The economy also benefits as the more university educated workers in the market makes a progressively intelligent workforce. This ‘Human Capital’ causes the economy to have a more productive workforce as time goes on with masses upon masses of expertise. This is especially helpful in the UK as more and more jobs are appearing in the services as opposed to agriculture and industry. This means that more specialised work is needed rather than manual labour. 73.4% of the economy is in the services (non-industrial/agricultural) which comprises of almost 80% of the workforce. This is a stark comparison to agriculture at 1% of the UK’s GDP and to industry which is around the 25% mark. Thus meaning degree students, not physical labourers, are greatly in demand.So in the long run, more students entering into university education will result in a more productive economy and therefore a richer United Kingdom, therefore it is very reasonable to encourage more students into higher education in the UK.
Family pressure could also be another motive for going to university. This pressure could be from parents just wanting the student to do well for the student’s sake. It could also be because a member of the family has went to university before and the student wishes follow in their footsteps by choosing the same course – or just going to university like them. In a recent survey by Glasgow University, students who where given unconditional offers where asked to give their reasons for applying to university. 51% said that ‘family expectations’ had an influence on their choice.
Overall, although there are some economic reasons to put off a student from entering into university education, there are far more benefits. Such as greater earnings, an improved chance of getting the job they always wanted and a better standard of life overall. There are also other reasons, non fiscal, for the student to go to university for. Family pressure is a big reason: having to enter the same line of work a family member is in, or just trying to keep up with family expectations. There are also economic reasons to enter university from society’s point of view. With more university graduates in the job market in this decreasingly industrial country, the UK economy can grow, become more efficient and thus the United Kingdom can develop into a far more prosperous nation.
Bibliography
Begg, D and Fischer, S and Dornbusch, R. (2005) Economics. New York: McGraw Hill higher Education
Pass, C. (2005) Collins Dictionary of Economics. London: Collins Publishers
British Army. ‘Soldier pay’
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MI5. ‘Intelligence Officer’
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BBC News ‘Student debt averages £13,252’
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BBC News ‘Students choose sex over study’
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CIA ‘United Kingdom’
Glasgow University survey ‘Reasons for applying to university’
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‘Soldier Pay’
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‘Intelligence Officer’
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‘Student debt 'averages £13,252'
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‘Students choose sex over study’.
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Pg 233, Collins Dictionary of Economics
‘United Kingdom’
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‘Reasons for applying to university’.
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