THE EFFECT OF HIGHER EDUCATION RETURNS ON ECONOMIC GROWTH IN LIBYA

Abstract

The development in higher education sector in developed and developing countries is reflected on the economy of these countries. Today, universities pay high attention to increase revenues from recruit more students and develop their education system. The purpose of this paper is to investigate the effect of higher education returns on economic growth in Libya. To measure the strength of correlation between the return from higher education and economic growth in Libya, the study conducted a quantitative survey and statistical analysis based on simple linear regression. The findings from this approach determine of association between higher education quality and economic growth. Higher education contributes to the economic development by enabling those who receives it to contribute to the national development. The results show that Economic Growth is 32.70% predicted by Higher Education Returns. The results of this study highlight of higher education return to Libyan government so that the government increase the spending on higher education in order to develop the level of low income from Libyan universities, which should be reflected positively on the economic growth in Libya. Previous studies in consumer animosity did not investigate the effect of higher education return on economic growth. This study shows that higher education exposes students to what is most needed in the society from their own personal experiences leads to effective and appropriate economic development