Title: The rate of return of social investment on post-secondary initial vocational education and training in Greece
Authors: Stefanos Chanis; Constantinos Tsamadias; Stamatina Hadjidema
Addresses: University of Piraeus, 80, Karaoli and Dimitriou, Piraeus 18534, Greece ' Harokopio University, 70, El. Venizelos, Athens 17671, Greece ' University of Piraeus, 80, Karaoli and Dimitriou, Piraeus 18534, Greece
Abstract: According to the human capital theory education and training produce, accumulate and diffuse human capital. They are a type of consumption but they are mainly considered as investments. In Greece, the Post Secondary Initial Vocational Education and Training is a sub-system of the Life Long Learning. The present study provides ex post estimates of the rates of return on the social investment to Post-Secondary Initial Vocational Education and Training by using a cost-benefit approach. Stratified sampling has been employed with a proportional distribution throughout the country in order to derive a sample on the private sector's earnings data. Data on social costs have also been used in this study. The empirical results showed that, in general, the rate of return on the social investment to Post-Secondary Initial Vocational Education and Training has been satisfactory. Moreover, sensitivity analysis showed that the rate of return increases slightly, when the duration of studies and the social cost of Post-Secondary Initial Vocational Education and Training system are decreased.
Keywords: vocational education and training; human capital; cost-benefit analysis; evaluation; planning; rate of return; social investment; Greece; life-long learning; post-secondary education.
International Journal of Education Economics and Development, 2013 Vol.4 No.1, pp.57 - 71
Received: 25 Jul 2012
Accepted: 08 Feb 2013
Published online: 21 May 2013 *