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Prashant Loyalka
Journal Articles

Ability Tracking and Social Trust in China's Rural Secondary School System

Fan Li, Prashant Loyalka, Hongmei Yi, Yaojiang Shi, Natalie Johnson, Scott Rozelle
School Effectiveness and School Improvement, 2018 June 12, 2018

The goal of this paper is to describe and analyze the relationship between ability tracking and student social trust, in the context of low-income students in developing countries. Drawing on the results from a longitudinal study among 1,436 low-income students across 132 schools in rural China, we found a significant lack of interpersonal trust and confidence in public institutions among poor rural young adults. We also found that slow-tracked students have a significantly lower level of social trust, comprised of interpersonal trust and confidence in public institutions, relative to their fast-tracked peers. This disparity might further widen the gap between relatively privileged students who stay in school and less privileged students who drop out of school. These results suggest that making high school accessible to more students may improve social trust among rural low-income young adults.

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Journal Articles

Assessing the Quality of Upper-Secondary Vocational Education and Training: Evidence from China

Hongmei Yi, Guirong Li, Liying Li, Prashant Loyalka, Linxiu Zhang, Jiajia Xu, Elena Kardanova, Henry Shi, James Chu
Comparative Education Review, 2018 March 16, 2018
An increasing number of policymakers in developing countries have made the mass expansion of upper-secondary vocational education and training (VET) a top priority. The goal of this study is to examine whether VET fulfills the objectove of building skills and abilities along multiple dimensions and further identify which school-level factors help vocational students build these skills and abilities. To fulfill this goal, we analyzed representative, longitudinal data that we collected on more than 12,000 students from 118 schools in once province of central China. First, descriptive analysis shows approximately 90% of VET students do not make any gains in vocational or general skills. In addition, negative behaviors (misbehavior in the classroom, anti-social behavior, and other risky behaviors) are highly prevalent among VET students. A nontrivial proportion of student internships also fail to meet minimum government requirements for student safety and well-being. Perhaps as a result of these outcomes, more than 60% of students express dissatisfaction with their VET programs, as evidenced by eitehr self-reports or dropping out. Finally, using a multi-level model, we find that school inputs (such as school size, teacher qualifications, and per pupil expenditure) are not correlated with vocational and general skill at the end of the school year, or student dropout in the academic year.
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Journal Articles

Human Capital and China’s Future Growth

Hongbin Li , Prashant Loyalka , Scott Rozelle, Binzhen Wu
Journal of Economic Perspectives, 2017 December 1, 2017
In this paper, we consider the sources and prospects for economic growth in China with a focus on human capital. First, we provide an overview of the role that labor has played in China's economic success. We then describe China's hukou policy, which divides China's labor force into two distinct segments, one composed of rural workers and the other of urban workers. For the rural labor force, we focus on the challenges of raising human capital by both increasing basic educational attainment rates as well as the quality of education. For the urban labor force, we focus on the issues of further expanding enrollment in college education as well as improving the quality of college education. We use a regression model to show the typical relationship between human capital and output in economies around the world and demonstrate how that relationship has evolved since 1980. We show that China has made substantial strides both in the education level of its population and in the way that education is being rewarded in its labor markets. However, as we look ahead, our results imply that China may find it impossible to maintain what appears to be its desired growth rate of 7 percent in the next 20 years; a growth rate of 3 percent over the next two decades seems more plausible. Finally, we present policy recommendations, which are rooted in the belief that China continues to have substantial room to improve the human capital of its labor force.
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Journal Articles

Assessing College Critical Thinking: Preliminary Results from the Chinese HEIghten® Critical Thinking Assessment

Ou Lydia Liu, Amy Shaw, Lin Gu, Guirong Li, Shangfeng Hu, Ningning Yu , Liping Ma, Changqing Xu, Fei Guo, Qi Su, Elena Kardanovaj, Igor Chirikov, Jinghuan Shi, Zhaolei Shi, Huan Wang, Prishant Loyalka
Higher Education Research & Development, 2017 May 16, 2017
Assessing student learning outcomes has become a global trend in higher education. In this paper, we report on the validation of the Chinese HEIghten® Critical Thinking assessment with a nationally representative sample of Electrical Engineering and Computer Science students from 35 institutions in China. Key findings suggest that there was a test delivery mode effect favoring the paper tests over the online tests. In general, the psychometric quality of the items was satisfactory for low-stakes, group-level uses but there were a few items with low discrimination that awaits further investigation. The relationships between test scores and various external variables such as college entrance examination scores, university elite status and student perceptions of the test were as expected. We conclude with speculations on the key findings and discussion of directions for future research.
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Journal Articles

Inequalities in the Pathway to College in China: When Do Students from Poor Areas Fall Behind?

Prashant Loyalka, James Chu, Jianguo Wei, Natalie Johnson, Joel Reniker
China Quarterly, 2017 February 6, 2017
Inequalities in college access are a major concern for policymakers in both developed and developing countries. Policymakers in China have largely tried to address these inequalities by helping disadvantaged students successfully transition from high school to college. However, they have paid less attention to the possibility that inequalities in college access may also arise earlier in the pathway to college. The purpose of this paper is to understand where inequalities emerge along the pathway to college in China, focusing on three major milestones after junior high. By analysing administrative data on over 300,000 students from one region of China, we find that the largest inequalities in college access emerge at the first post-compulsory milestone along the pathway to college: when students transition from junior high to high school. In particular, only 60per cent of students from poor counties take the high school entrance exam(comparedtonearly100 per cent of students from non-poor counties). Furthermore, students from poor counties are about one and a half times less likely to attend academic high school and elite academic high school than students from non-poor counties.
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Journal Articles

The Impact of Conditional Cash Transfers on the Matriculation of Junior High School Students to Rural China’s High Schools

Fan Li, YIngquan Song, Hongmei Yi, Jianguo Suo, Linxiu Zhang, Yaojiang Shi, James Chu, Natalie Johnson, Prashant Loyalka, Scott Rozelle
Journal of Development Effectiveness, 2017 January 9, 2017
The goal of this study is to examine whether promising a conditional cash transfer (conditional on matriculation) at the start of junior high school increases the rate at which disadvantaged students matriculate into high school. Based on a randomised controlled trial (RCT) involving 1418 disadvantaged (economically poor) students in rural China, we find that a CCT voucher has no effect on increasing high school matriculation for the average disadvantaged student. The CCT voucher also has no differential impact on students at any point in the distribution of baseline academic achievement. This result suggests that CCTs, while shown to be effective in many contexts, do not always work.
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Journal Articles

Educational Expectations and Dropout Behavior among Junior High Students in Rural China

Fang Chang, Wenbin Min, Yaojiang Shi, Kaleigh Kenny, Prashant Loyalka
China & World Economy, 2016 May 22, 2016
The high level of dropout from junior high school is one of the most serious challenges facing the human capital development of the next generation of workers in China's rural areas. The goal of this paper is to assess to what extent the educational expectations of students are correlated with dropout behavior at the junior high school level in China. Using panel data, this research finds that the cumulative dropout rate is high among grade 7 and 8 students within our sample (as high as 19.5 percent, which implies a 3‐year dropout rate of around 25 percent). Importantly, we find that this high rate of dropout is significantly correlated with students' educational expectations. Specifically, students who reported their expected level of education is “less than high school” or “less than college” are five times and four times more likely to drop out during junior high school than their peers, respectively.
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Journal Articles

Implementation of Teacher Training in China and Its Policy Implications

Hongyan Liu, Chengfang Liu, Fang Chang, Prashant Loyalka
China & World Economy, 2016 May 22, 2016

This study describes the current teacher training system in China, including the prevalence of teacher training, the types of training, training content and the ways that training is delivered. The paper presents subjective evaluations of training for principals and teachers using four diverse datasets. The results show that the National Teacher Training Project (NTTP) deviates from offi cial policy objectives in several respects. The subjects of training programs and training content are not fully compliant with policy objectives. In addition, training opportunities are offered to a smaller proportion of rural teachers than urban teachers. It is found that the proportion of teachers and principals satisfied with the NTTP is lower than that for other types of training. Therefore, measures should be taken to increase training opportunities for rural teachers and to ensure the quality of training for all teachers.

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Journal Articles

Can Social–Emotional Learning Reduce School Dropout in Developing Countries?

Huan Wang, James Chu, Prashant Loyalka, Tao Xin, Yaojiang Shi, Qinghe Qu, Chu Yang
Journal of Policy Analysis and Management, 2016 May 16, 2016
An alarming number of students drop out of junior high school in developing countries. In this study, we examine the impacts of providing a social–emotional learning (SEL) program on the dropout behavior and learning anxiety of students in the first two years of junior high. We do so by analyzing data from a randomized controlled trial involving 70 junior high schools and 7,495 students in rural China. After eight months, the SEL program reduces dropout by 1.6 percentage points and decreases learning anxiety by 2.3 percentage points. Effects are no longer statistically different from zero after 15 months, perhaps due to decreasing student interest in the program. However, we do find that the program reduces dropout among students at high risk of dropping out (older students and students with friends who have already dropped out), both after eight and 15 months of exposure to the SEL program.
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Journal Articles

Developing Instruments to Assess and Compare the Quality of Engineering Education: the Case of China and Russia

Elena Kardanova, Prashant Loyalka, Igor Chirikov, Lydia Liu, Guirong Li, Huan Wang, Ekaterina Enchikova, Henry Shi, Natalie Johnson
Assessment and Evaluation in Higher Education, 2016 March 30, 2016

Relatively little is known about differences in the quality of engineering education within and across countries because of the lack of valid instruments that allow for the assessment and comparison of engineering students’ skill gains. The purpose of our study is to develop and validate instruments that can be used to compare student skill gains in mathematics and physics courses in undergraduate engineering programmes across countries. The approach includes procedures to establish construct validity and other necessary psychometric properties. Drawing on data collected from over 24 engineering experts and 3600 engineering students across Russia and China, we establish that it is possible to develop valid, equitable and cross-nationally comparable instruments that can assess and compare skill gains.

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Journal Articles

Developing Instruments to Assess and Compare the Quality of Engineering Education: The Case of China and Russia

Elena Kardanova, Prashant Loyalka, Igor Chirikov, Lydia Liu, Guirong Li, Huan Wang, Ekaterina Enchikova, Henry Shi, Natalie Johnson
Assessment & Evaluation in Higher Education, 2016 March 30, 2016
Relatively little is known about differences in the quality of engineering education within and across countries because of the lack of valid instruments that allow for the assessment and comparison of engineering students’ skill gains. The purpose of our study is to develop and validate instruments that can be used to compare student skill gains in mathematics and physics courses in undergraduate engineering programmes across countries. The approach includes procedures to establish construct validity and other necessary psychometric properties. Drawing on data collected from over 24 engineering experts and 3600 engineering students across Russia and China, we establish that it is possible to develop valid, equitable and cross-nationally comparable instruments that can assess and compare skill gains.
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Journal Articles

The Impact of Vocational Teachers on Student Learning in Developing Countries: Does Enterprise Experience Matter?

Jamie Johnston, Prashant Loyalka, James Chu, Yingquan Song, Hongmei Yi, Xiaoting Huang, Scott Rozelle
Comparative Education Review, 2016 February 13, 2016

Although vocational schooling is responsible for educating a large share of students in the world today, there is little evidence about what factors matter for vocational student learning. Using data on approximately 1,400 vocational students in one eastern province in China, we employ a student fixed effects model to identify whether teacher enterprise experience—believed to be one of the most important factors for vocational student learning—increases students’ technical skills. We find that enterprise experience has a substantial positive impact on students’ technical skills. Furthermore, the impacts are concentrated on high-achieving students. In contrast, policies to provide teachers with “professional certifications” (given to teachers who participate in short-term trainings) have no positive impact. 

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Journal Articles

China’s Looming Human Capital Crisis: Upper Secondary Educational Attainment Rates and the Middle Income Trap

Niny Khor, Lihua Pang, Chengfang Liu, Fang Chang, Di Mo, Prashant Loyalka, Scott Rozelle
2016 January 7, 2016

Accumulation of human capital is indispensable to spur economic growth. If students fail to acquire such skills, not only will they have a hard time finding high-wage employment in the future, but the development of the economies in which they work may also stagnate from a shortage of human capital. The overall goal of this study is try to understand if China is ready in terms of the education of its labor force to progress from middle income to high income country status. To achieve this goal, we seek to understand the share of the labor force that has attained at least some upper secondary schooling (upper secondary attainment) and to benchmark these educational attainment rates against the rates of the labor forces in other countries (e.g., high income/OECD countries; a subset of G20 middle income/BRICS countries). Using the Sixth Population Census data, we are able to show that China’s human capital is shockingly poor. In 2010 only 24% of China’s entire labor force (individuals 25-64 years of age) had ever attended upper secondary school. This rate is less than one-third of the average upper secondary attainment rate in OECD countries. China’s overall upper secondary attainment rate and the attainment rate of its youngest workers (25-34 year old workers) is also the lowest of all the BRICS countries (with the exception of India for which data were not available). Our analysis also demonstrates that the statistics on upper secondary education reported by the Ministry of Education (MoE) are overestimated. In the paper, we document when MoE and Census-based statistics diverge and raise three possible policy-based reasons why officials may have begun to have an incentive to misreport in the mid-2000s.

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Journal Articles

Dropping Out of Rural China's Secondary Schools: A Mixed-Methods Analysis

Yaojiang Shi, Linxiu Zhang, Yue Ma, Hongmei Yi, Chengfang Liu, Natalie Johnson, James Chu, Prashant Loyalka, Scott Rozelle
The China Quarterly, 2015 December 15, 2015

Students in rural China are dropping out of secondary school at troubling rates. While there is considerable quantitative research on this issue, no systematic effort has been made to assess the deeper reasons behind student decision making through a mixed-methods approach. This article seeks to explore the prevalence, correlates and potential reasons for rural dropout throughout the secondary education process. It brings together results from eight large-scale survey studies covering 24,931 rural secondary students across four provinces, as well as analysis of extensive interviews with 52 students from these same study sites. The results show that the cumulative dropout rate across all windows of secondary education may be as high as 63 per cent. Dropping out is significantly correlated with low academic performance, high opportunity cost, low socioeconomic status and poor mental health. A model is developed to suggest that rural dropout is primarily driven by two mechanisms: rational cost-benefit analysis or impulsive, stress-induced decision making. 

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Journal Articles

China's Left Behind Children: Impact of Parental Migration on Health, Nutrition and Educational Outcomes

Chengchao Zhou, Sean Sylvia, Linxiu Zhang, Renfu Luo, Hongmei Yi, Chengfang Liu, Yaojiang Shi, Prashant Loyalka, James Chu, Alexis Medina, Scott Rozelle
Health Affairs Volume 34, Issue 11, 2015 November 1, 2015
China’s rapid development and urbanization have induced large numbers of rural residents to migrate from their homes to urban areas in search of better job opportunities. Parents typically leave their children behind with a caregiver, creating a new, potentially vulnerable subpopulation of left-behind children in rural areas. A growing number of policies and nongovernmental organization efforts target these children. The primary objective of this study was to examine whether left-behind children are really the most vulnerable and in need of special programs. Pulling data from a comprehensive data set covering 141,000 children in ten provinces (from twenty-seven surveys conducted between 2009 and 2013), we analyzed nine indicators of health, nutrition, and education. We found that for all nine indicators, left-behind children performed as well as or better than children living with both parents. However, both groups of children performed poorly on most of these indicators. Based on these findings, we recommend that special programs designed to improve health, nutrition, and education among left-behind children be expanded to cover all children in rural China.
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Journal Articles

The Impact of Teacher Credentials on Student Achievement in China

Jessica Hsiaochieh Chu, Prashant Loyalka, James Chu, Qinghe Qu, Yaojiang Shi, Guirong Li, Scott Rozelle
China Economic Review, 2015 September 7, 2015
Teacher quality is an important factor in improving student achievement. As such, policymakers have constructed a number of different credentials to identify high quality teachers. Unfortunately, few of the credentials used in developing countries have been validated (in terms of whether teachers holding such credentials actually improve student achievement). In this study, we employ a student-fixed effects model to estimate the impact of teacher credentials on student achievement in the context of the biggest education system in the world: China. We find that having a teacher with the highest rank (a credential based on annual assessments by local administrators) has positive impacts on student achievement relative to having a teacher who has not achieved the highest rank. We further find that teacher rank has heterogeneous impacts, benefiting economically poor students more than non-poor students. However, other credentials (whether the teacher attended college or held teaching awards) have no impact on student achievement. 
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Journal Articles

The Impact of Vocational Schooling on Human Capital Development in Developing Countries: Evidence from China

Prashant Loyalka, Xiaoting Huang, Linxiu Zhang, Jianguo Wei, Hongmei Yi, Yingquan Song, Yaojiang Shi, James Chu
The World Bank Economic Review, 2015 August 27, 2015

A number of developing countries are currently promoting vocational education and training (VET) as a way to build human capital and strengthen economic growth. The primary aim of this study is to understand whether VET at the high school level contributes to human capital development in one of those countries—China. To fulfill this aim, we draw on longitudinal data on more than 10,000 students in vocational high school (in the most popular major, computing) and academic high school from two provinces of China. First, estimates from instrumental variables and matching analyses show that attending vocational high school (relative to academic high school) substantially reduces math skills and does not improve computing skills. Second, heterogeneous effect estimates also show that attending vocational high school increases dropout, especially among disadvantaged (low-income or low-ability) students. Third, we use vertically scaled (equated) baseline and follow-up test scores to measure gains in math and computing skills among the students. We find that students who attend vocational high school experience absolute reductions in math skills. Taken together, our findings suggest that the rapid expansion of vocational schooling as a substitute for academic schooling can have detrimental consequences for building human capital in developing countries such as China. 

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Journal Articles

Exploring the Dropout Rates and Causes of Dropout in Upper-Secondary Technical and Vocational Education and Training (TVET) Schools in China

Hongmei Yi, Linxiu Zhang, Yezhou Yao, Aiqin Wang, Yue Ma, Yaojiang Shi, James Chu, Prashant Loyalka, Scott Rozelle
International Journal of Education Development, 2015 April 27, 2015

Policymakers in many developing countries regard upper-secondary technical and vocational education and training (TVET) as a key element in economic growth and poverty reduction. Unfortunately, there is evidence that upper-secondary TVET programs in developing countries experience high rates of dropout. The overall goal of this study is to examine the dropout rates and reasons for dropout among uppersecondary TVET students in China. To meet this goal, we have three specific objectives. First, we seek to produce high-quality estimates of dropout rates among students in upper-secondary TVET schools in one coastal and one inland province of China. Second, we seek to identify which students drop out from upper-secondary TVET. Third, we test whether financial constraints, math and computer achievement, and parental education and migration status correlate with TVET dropout. Drawing on data from a survey of 7414 upper-secondary TVET students in two provinces of China, we find dropout rates of 10.7% across both provinces and as high as 22% in poorer inland areas, suggesting major gaps and disparities in Chinese TVET dropout rates. Furthermore, we find that baseline academic performance and maternal education and migration status are strong correlates for student dropout.

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Journal Articles

Unequal Access to College in China: How Far Have Poor, Rural Students Been Left Behind?

Hongbin Li , Prashant Loyalka , Scott Rozelle , Binzhen Wu , Jieyu Xie
The China Quarterly, 2015 March 9, 2015
In the 1990s, rural youth from poor counties in China had limited access to college. After mass college expansion started in 1998, however, it was unclear whether rural youth from poor counties would gain greater access. The aim of this paper is to examine the gap in college and elite college access between rural youth from poor counties and other students after expansion. We estimate the gaps in access by using data on all students who took the college entrance exam in 2003. Our results show that gaps in access remained high even after expansion. Rural youth from poor counties were seven and 11 times less likely to access any college and elite Project 211 colleges than urban youth, respectively. Much larger gaps existed for disadvantaged subgroups (female or ethnic minority) of rural youth from poor counties. We also find that the gaps in college access were mainly driven by rural–urban differences rather than differences between poor and non-poor counties within rural or urban areas.
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Journal Articles

Giving kids a head start: The impact and mechanisms of early commitment of financial aid on poor students in rural China

Hongmei Yi, Yingquan Song, Chengfang Liu, Xiaoting Huang, Linxiu Zhang, Yunli Bai, Baoping Ren, Yaojiang Shi, Prashant Loyalka, James Chu, Scott Rozelle
Journal of Development Economics, 2015 March 1, 2015
We estimate the impact of two early commitment of financial aid (ECFA) programs—one at the start and one near the end of junior high school (seventh and ninth grades, respectively)—on the outcomes of poor, rural junior high students in China. Our results demonstrate that neither of the ECFA programs has a substantive effect. We find that the ninth-grade program had at most only a small (and likely negligible) effect on matriculation to high school. The seventh-grade program had no effect on either dropout rates during junior high school or on educational performance as measured by a standardized math test. The seventh-grade program did increase the plans of students to attend high school by 15%. In examining why ECFA was not able to motivate significant behavioral changes for ninth graders, we argue that the competitiveness of the education system successfully screened out poorer performing students and promoted better performing students. Thus by the ninth grade, the remaining students were already committed to going to high school regardless of ECFA support. In regards to the results of the seventh grade program, we show how seventh graders appear to be engaged in wishful thinking (they appear to change plans without reference to whether their plans are realistic).
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Journal Articles

The Impacts of Building Elite High Schools for Students from Disadvantaged Areas

Prashant Loyalka, Jianguo Wei, Weiping Zhong, James Chu
Economic Development and Cultural Change 2015, 63(2), 2015 January 5, 2015
Across the globe, students living in disadvantaged areas (rural, impoverished, remote) and from disadvantaged backgrounds (low income) are less likely than their advantaged counterparts to go to higher levels of schooling. In general, disadvantaged students repeat grades more, drop out more, and on average perform less well academically. They thus face serious challenges in taking advantage of education, an important channel for social mobility, as a means to help them and their households improve their long-term economic well-being. Recognizing this, policy makers and researchers in developing countries have implemented a variety of interventions to improve the educational outcomes of disadvantaged students.
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Journal Articles

Response to the Commentary 'Reassessing Disparity in Access to Higher Education in Contemporary China'

Xiaobing Wang, Chengfang Liu, Linxiu Zhang, Yaojiang Shi, Scott Rozelle, Prashant Loyalka
The China Quarterly, 2014 December 22, 2014

We respond to Anning Hu's commentary on our report “College is a rich, Han, urban, male club: Research notes from a census survey of four tier one colleges in China.” The topic of assessing disparities in college access in China (and other developing countries undergoing major transitions in their higher education systems) is an important one. We hope that our China Quarterly article, Hu’s commentary and our response will stimulate more research and dialogue on this topic in China and elsewhere.

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Journal Articles

Factors Affecting the Quality of Engineering Education in the Four Largest Emerging Economies

Prashant Loyalka, Martin Carnoy, Isak Froumin, Raffiq Dossani, J.B. Tilak, Po Yang
Higher Education, 2014 April 18, 2014

A huge increase in engineering graduates from the BRIC countries in recent
decades potentially threatens the competitiveness of developed countries in producing high
value-added products and services, while also holding great promise for substantially
increasing the level of global basic and applied innovation. The key question is whether the
quality of these new BRIC engineers will be high enough to actualize this potential. The
objective of our study is to assess the evolving capacity of BRIC higher education systems
to produce qualified engineering graduates. To meet this objective, we compare developments in the quality of undergraduate engineering programs across elite and non-elite
higher education tiers within and across each BRIC country. To assess and compare the
quality of engineering education across the BRIC countries, we use multiple sources of
primary and secondary data gathered from each BRIC country from 2008 to 2011. In
combination with this, we utilize a production function approach that focuses on key input-,
process- and outcome-based indicators associated with the quality of education programs.
Our analysis suggests that in all four countries, a minority of engineering students receives
high quality training in elite institutions while the majority of students receive low quality training in non-elite institutions. Our analysis also shows how the BRIC countries vary in
their capacity to improve the quality of engineering education.

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Journal Articles

The Concept of Public Goods, the State, and Higher Education Finance: A View from the BRICs

Martin Carnoy , Isak Froumin , Prashant Loyalka , Jandhyala B. G. Tilak
Higher Education, 2014 February 25, 2014
Because higher education serves both public and private interests, the way it is conceived and financed is contested politically, appearing in different forms in different societies. What is public and private in education is a political–social construct, subject to various political forces, primarily interpreted through the prism of the state. Mediated through the state, this construct can change over time as the economic and social context of higher education changes. In this paper, we analyze through the state’s financing of higher education how it changes as a public/private good and the forces that impinge on states to influence such changes. To illustrate our arguments, we discuss trends in higher education financing in the BRIC countries—Brazil, Russia, India, and China. We show that in addition to increased privatization of higher education financing, BRIC states are increasingly differentiating the financing of elite and non-elite institutions.
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Journal Articles

The Cost of Disability in China

Prashant Loyalka, Lan Liu, Gong Chen, Xiaoying Zheng
Demography, 2014 February 1, 2014
We describe the degree to which household income is negatively associated with the prevalence of different types of disability (i.e. medical impairments) in China using data from the 2006 China National Sample Survey of Disabled Persons. We then calculate the extra costs of disability across different types of households and show how these costs differ by the type and severity of disability in both urban and rural areas. We finally use nationally-representative panel data on persons with disabilities from 2007 to 2009 to examine the degree to which social security measures are reaching persons with different types and severity of disabilities in both urban and rural areas. We conclude that while social assistance and insurance for households with disabilities is increasing rapidly over time, it is still not enough to offset the income differential between households with and without disabled persons, especially when accounting for the extra costs of living associated with disability.
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