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Policy Reforms and Financing of Elementary Education in India: A Study of the Quality of Service and Outcome

Author

Listed:
  • Basanta K. Pradhan
  • Shalabh Kumar Singh

Abstract

Even as a case can be made out for public spending on elementary education, its link with enrolment rates does not appear strong. However, once efficiency and demand-side factors are accounted for, public spending is seen to make an impact on the rate of enrolment and quality of education as measured by teacher-pupil ratio. Teacher-pupil ratio and the number of schools, in turn, are seen to have a stronger impact on the rate of enrolment in efficient states. Literacy rates as well as state domestic product were seen to have a positive influence on education. The share of public expenditure on elementary education in GDP peaked in 1990-91 but never achieved the targeted level of 6 percent of GDP. The reforms brought a break in the growth rate of public expenditure on elementary education, from which not all the states could recover even over an extended period of time.

Suggested Citation

  • Basanta K. Pradhan & Shalabh Kumar Singh, 2004. "Policy Reforms and Financing of Elementary Education in India: A Study of the Quality of Service and Outcome," NCAER Working Papers 93, National Council of Applied Economic Research.
    • Handle: RePEc:nca:ncaerw:93
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