IDEAS home Printed from https://ideas.repec.org/a/cbu/jrnlec/y2025v1p282-293.html
   My bibliography  Save this article

Analysis Of Differences In Public Spending On Education Between Developed And In Transition Countries

Author

Listed:
  • STEFANESCU (FLOREA) IULIA OANA

    (OVIDIUS UNIVERSITY CONSTANTA, FACULTATEA DE STIINTE ECONOMICE)

  • TRANDAFIR RALUCA

    (OVIDIUS UNIVERSITY CONSTANTA, FACULTATEA DE DREPT SI STIINTE ADMINISTRATIVE)

Abstract

This study examines the differences in public spending on education between developed and transition economies, focusing on how economic, social, and institutional factors shape resource allocation across various educational levels. Using a comparative framework, the research employs the Two-Way ANOVA statistical method to evaluate the impact of economic contexts on education funding, with a specific emphasis on tertiary, primary, and secondary education. The findings reveal a significant disparity in education investments: developed countries allocate substantially higher resources compared to transition economies, where budgetary limitations hinder adequate funding for education systems. The study highlights that developed nations prioritize education as a cornerstone of economic competitiveness, emphasizing higher education and innovation, while transition economies focus more on basic education to address foundational needs. The disparities are further exacerbated by institutional weaknesses and the effects of the COVID-19 pandemic, which have intensified pre-existing inequities in resource distribution. Implications for public policy include the urgent need for institutional reforms and the adoption of sustainable strategies to bridge these gaps. Recommendations include enhancing fiscal capacity, fostering international collaborations, and leveraging technology to support equitable and resilient education systems. By analyzing data from 30 countries, this study contributes to the global discourse on education financing, providing actionable insights for policymakers to reduce disparities and promote inclusive educational development. These findings offer a roadmap for aligning educational priorities with long-term social and economic goals, particularly in diverse economic contexts.

Suggested Citation

  • Stefanescu (Florea) Iulia Oana & Trandafir Raluca, 2025. "Analysis Of Differences In Public Spending On Education Between Developed And In Transition Countries," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 1, pages 282-293, February.
  • Handle: RePEc:cbu:jrnlec:y:2025:v:1:p:282-293
    as

    Download full text from publisher

    File URL: https://www.utgjiu.ro/revista/ec/pdf/2025-01/34_Stefanescu.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Hanushek, Eric A. & Woessmann, Ludger, 2011. "The Economics of International Differences in Educational Achievement," Handbook of the Economics of Education, in: Erik Hanushek & Stephen Machin & Ludger Woessmann (ed.), Handbook of the Economics of Education, edition 1, volume 3, chapter 2, pages 89-200, Elsevier.
    2. Barro, Robert J. & Lee, Jong Wha, 2013. "A new data set of educational attainment in the world, 1950–2010," Journal of Development Economics, Elsevier, vol. 104(C), pages 184-198.
    3. Gary S. Becker, 1964. "Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education, First Edition," NBER Books, National Bureau of Economic Research, Inc, number beck-5, June.
    4. Psacharopoulos, George, 1994. "Returns to investment in education: A global update," World Development, Elsevier, vol. 22(9), pages 1325-1343, September.
    5. N. Gregory Mankiw & David Romer & David N. Weil, 1992. "A Contribution to the Empirics of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(2), pages 407-437.
    6. Kamer-Ainur Aivaz & Daniel Teodorescu, 2022. "The Impact of the Coronavirus Pandemic on Medical Education: A Case Study at a Public University in Romania," Sustainability, MDPI, vol. 14(1), pages 1-16, January.
    7. Daniel Teodorescu & Kamer-Ainur Aivaz & Diane Paula Corine Vancea & Elena Condrea & Cristian Dragan & Ana Cornelia Olteanu, 2023. "Consumer Trust in AI Algorithms Used in E-Commerce: A Case Study of College Students at a Romanian Public University," Sustainability, MDPI, vol. 15(15), pages 1-15, August.
    8. Kamer-Ainur Aivaz & Anamaria Mișa & Daniel Teodorescu, 2024. "Exploring the Role of Education and Professional Development in Implementing Corporate Social Responsibility Policies in the Banking Sector," Sustainability, MDPI, vol. 16(8), pages 1-17, April.
    9. Rui Du & Adriana Grigorescu & Kamer-Ainur Aivaz, 2023. "Higher Educational Institutions’ Digital Transformation and the Roles of Digital Platform Capability and Psychology in Innovation Performance after COVID-19," Sustainability, MDPI, vol. 15(16), pages 1-14, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ángel de la Fuente & Rafael Doménech, 2024. "Cross‐country data on skills and the quality of schooling: A selective survey," Journal of Economic Surveys, Wiley Blackwell, vol. 38(1), pages 3-26, February.
    2. Iulia Oana Stefanescu & Raluca Trandafir, 2024. "Participation in Lifelong Learning Depending on Economic Development and Educational Attainment level: A Statistical Approach Using Two-Way ANOVA," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 3, pages 256-264.
    3. Gradstein, Mark & Brückner, Markus, 2013. "Income and schooling," CEPR Discussion Papers 9365, C.E.P.R. Discussion Papers.
    4. Sodiq Arogundade & Mduduzi Biyase & Hinaunye Eita, 2021. "Foreign Direct Investment and Inclusive Human Development in Sub-Saharan African Countries:Does local Economic Conditions Matter?," Economic Development and Well-being Research Group Working Paper Series edwrg-01-2021, University of Johannesburg, College of Business and Economics, revised 2021.
    5. Oleg Badunenko & Daniel Henderson & Romain Houssa, 2014. "Significant drivers of growth in Africa," Journal of Productivity Analysis, Springer, vol. 42(3), pages 339-354, December.
    6. Altinok, Nadir & Aydemir, Abdurrahman, 2017. "Does one size fit all? The impact of cognitive skills on economic growth," Journal of Macroeconomics, Elsevier, vol. 53(C), pages 176-190.
    7. Bloom, David E. & Canning, David & Kotschy, Rainer & Prettner, Klaus & Schünemann, Johannes, 2024. "Health and economic growth: Reconciling the micro and macro evidence," World Development, Elsevier, vol. 178(C).
    8. Kubin, Ingrid & Zörner, Thomas O., 2021. "Credit cycles, human capital and the distribution of income," Journal of Economic Behavior & Organization, Elsevier, vol. 183(C), pages 954-975.
    9. Oscar Hernán Cerquera Losada & Mar�a de los �ngeles Clavijo Tovar & Carla Yanella P�rez Pe�a, 2022. "Capital humano y crecimiento económico: evidencia empírica para Suramérica," Apuntes del Cenes, Universidad Pedagógica y Tecnológica de Colombia, vol. 41(73), pages 143-167.
    10. Prettner, Klaus, 2012. "Public education, technological change and economic prosperity: semi-endogenous growth revisited," VfS Annual Conference 2012 (Goettingen): New Approaches and Challenges for the Labor Market of the 21st Century 65414, Verein für Socialpolitik / German Economic Association.
    11. Hanushek, Eric A. & Woessmann, Ludger, 2012. "Schooling, educational achievement, and the Latin American growth puzzle," Journal of Development Economics, Elsevier, vol. 99(2), pages 497-512.
    12. Acikgoz, Senay & Ben Ali, Mohamed Sami, 2019. "Where does economic growth in the Middle Eastern and North African countries come from?," The Quarterly Review of Economics and Finance, Elsevier, vol. 73(C), pages 172-183.
    13. Ouoba, Youmanli, 2020. "Natural resources fund types and capital accumulation: A comparative analysis," Resources Policy, Elsevier, vol. 66(C).
    14. Eftimoski, Dimitar, 2022. "On the inconclusive effect of human capital on growth: A new look at extended specifications," Economic Analysis and Policy, Elsevier, vol. 76(C), pages 708-727.
    15. Dohyung Kim & Sun Go, 2020. "Human Capital and Environmental Sustainability," Sustainability, MDPI, vol. 12(11), pages 1-14, June.
    16. Brotto, André & Jakubik, Adam & Piermartini, Roberta & Silvy, Fulvio, 2024. "Committing to grow: The full impact of WTO accessions," WTO Staff Working Papers ERSD-2024-06, World Trade Organization (WTO), Economic Research and Statistics Division.
    17. Aisen, Ari & Veiga, Francisco José, 2013. "How does political instability affect economic growth?," European Journal of Political Economy, Elsevier, vol. 29(C), pages 151-167.
    18. Muhammad Ali & Abiodun Egbetokun & Manzoor Hussain Memon, 2018. "Human Capital, Social Capabilities and Economic Growth," Economies, MDPI, vol. 6(1), pages 1-18, January.
    19. Gómez-Puig, Marta & Sosvilla-Rivero, Simón, 2018. "Nonfinancial debt and economic growth in euro-area countries," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 56(C), pages 17-37.
    20. Serge Coulombe & Jean-Francois Tremblay, 2009. "Education, Productivity and Economic Growth: A Selective Review of the Evidence," International Productivity Monitor, Centre for the Study of Living Standards, vol. 18, pages 3-24, Spring.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cbu:jrnlec:y:2025:v:1:p:282-293. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ecobici Nicolae The email address of this maintainer does not seem to be valid anymore. Please ask Ecobici Nicolae to update the entry or send us the correct address (email available below). General contact details of provider: https://edirc.repec.org/data/fetgjro.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.