What are the incentives for the to invest in education, considering in member countries of the OECD ?
On average among OECD countries, the net public return on an investment in tertiary education is over US$ 100,000 for a man - nearly three times the amount of public investment - and over US$ 50,000 for a woman.
On average across OECD countries, over US$ 92,000 is invested in man's tertiary education, taking into account both public and private spending.
On average across OECD countries, the net public return from an investment in tertiary education exceeds US$ 50,000 for a woman.
Rewards are typically higher for individuals who attain tertiary education than those with upper secondary ducation or post-secondary non-tertiary education. On average the net return exceeds US$ 135,000.
The returns for investing in tertiary education for men are generally higher. On average across OECD countries the net return for men is close to US$ 162,000.
The returns for investing in tertiary education for women are higher in Spain and Turkey in comparison to men. On average across OECD countries the net return for women is close to US$ 110,000.
On average among OECD countries, investing in upper secondary or post-secondary non-tertiary education generates a public net return of US$ 36,000 for a man and around US$ 26,000 for a woman.
On average among OECD countries, investing in upper secondary or post-secondary non-tertiary education generates a public net return of US$ 36,000 for a man.
On average among OECD countries, investing in upper secondary or post-secondary non-tertiary education generates a public net return around US$ 21,000 for a woman.
People with higher levels of educations earn more and are more likely to be in work. On average net returns are close to US$ 90,000 for men and US$ 67,000 for women.
Men generally enjoy better financial returns on their upper secondary education. On average net returns for men are close to US$ 90,000.
The returns for investing in tertiary education for women are higher in Estonia, Hungary, Italy, Poland and Spain, in comparison to men. On average across OECD countries the net return for women is close to US$ 67,000.

COUNTRY NAME (YEAR)

COSTS

Direct Cost

Foregone Taxes
on Earnings

Foregone
Earnings


Total Costs

BENEFITS

Gross earnings
benefits

Income tax effect

Social contribution
effect

Transfers effect

Unemployment
effect

Grants effect


Total Benefit

Net Return

Note: Values are based on the difference between people who attained a tertiary education compared with those who have attained an upper secondary or post-secondary non-tertiary education.
Estonia estimate assumes duration for tertiary education is 5.5 years.
Source: OECD. See Annex 3 for notes (www.oecd.org/edu/eag2012).
Note: Values are based on the difference between people who attained a tertiary education compared with those who have attained an upper secondary or post-secondary non-tertiary education.
1. Estonia estimate assumes duration of tertiary education is 5.5 years.
Source: OECD. See Annex 3 for notes (www.oecd.org/edu/eag2012).
Note: Values are based on the difference between people who attained an upper secondary or post-secondary non-tertiary education compared with those who have not attained that level of education.
1. Belgium and the Netherlands are not included because upper secondary education is compulsory.
2. Japan is not included because the data at the lower and upper secondary level of education are not broken down.
Source: OECD. See Annex 3 for notes (www.oecd.org/edu/eag2012).
Note: Values are based on the difference between people who attained an upper secondary or post-secondary non-tertiary education compared with those who have not attained that level of education.
1. Belgium and the Netherlands are not included because upper secondary education is compulsory.
2. Japan is not included because the data at the lower and upper secondary levels of education are not broken down.
Source: OECD. See Annex 3 for notes (www.oecd.org/edu/eag2012).

Findings

Tertiary education brings substantial net returns for men in Portugal and the United States, where an investment generates over US$ 300,000.

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In Ireland, Portugal, Slovenia and the United States, the investment generates a net present value over US$ 150,000 for a woman – a strong incentive to complete this level of education.

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Public returns for upper secondary education for a man are positive in all countries except Estonia; and for a woman in all countries except in Estonia, Israel and Korea.

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Direct and indirect public investment costs for a man exceed US$ 50,000 in Denmark, Finland, Germany, the Netherlands, Norway and Sweden. In Korea and Turkey, the total public investment cost does not exceed US$ 15,000.

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About That's edu

That's edu helps to study the economic and social benefits of education.
Studying the data related to the interdependence of education and society can reveal trends and insights crucial to shaping policy and improving well-being through education.

Continuing education after compulsory schooling can be thought of as an investment with the potential to bring benefits in the form of future financial returns both for the individuals and the society.
People and Governments invest in education through direct(i.e. tuition fees) and indirect(i.e. sacrificing potential income while studying instead of working) expenditures. These investments can generate returns that can be calculated.

That's edu visualizes all the aspects of the costs and investments in higher education in an extended set of OECD countries. Through the use of filters the user can compare and analyze each country in every economic indicator part of the econmic return on education.

OECD: Education at a Glance 2012

That's edu is based on the Education at a Glance 2012 published by the OECD - Organisation for Economic Co-operation and Development.
This publication examines the quality of learning outcomes, the policy levers and contextual factors that shape these outcomes, and the broader private and social returns that accrue to investments in education.
Broken down by gender, public/private value, and secondary/tertiary education level, and including all 34 OECD countries, this data set offers a comprehensive view of the economic return on education.

The classification of the levels of education is based on the International Standard Classification of Education.
That's edu shows data related to Higher Education considering it as made of two levels of educations: Upper Secondary and Tertiary.
Please note that to simplify we simply call Upper Secondary Education as the sum of Upper secondary education and Post-secondary non-tertiary education.

Visit Education at a Glance 2012 on the OECD web site to explore the full report for context, analysis, and more data.