Education, Economic Welfare Generator

Education, Economic Welfare Generator| Laura Mariana CISMAS & Ana Maria BANU
Abstract: The education- welfare economic relationship has become increasingly stronger in the global economic competitiveness conditions focused on developing research, development, and innovation. As defined it by Michael Porter, research and innovation-based economy requires prioritizing education and investing in human capital performance, regarded as the main factor of production unlimited in quantity and quality. In the context of an increasingly more knowledge economy based, transdiciplinary education becomes the means of ensuring the welfare of a nation.
The central aspect of this work is to evaluate how the education has proved that is an economic welfare generator, by analyzing the reasons for the differences between countries regarding the use of the education system as a solution to the new economic challenges. The results show that the years of schooling and the quality of education directly participated in raising the level of economic competitiveness.
Given the targets of the Europe 2020 strategy for growth by reducing early school leaving and promoting a knowledge-based economy, the article demonstrates that education and skills of individuals are transformed into factors increasing the economic performance of a country.

Keywords: education, economic welfare, competitivity, human capital, Europe 2020.

DOI: 10.18662/lumenss.2016.0501.03