Human capital proves worth

Improving workers' education can boost productivity more than adding tools and machinery, according to 바카라사이트 census bureau of 바카라사이트 United States department of education.

Based on interviews with managers and owners of 3,000 businesses, 바카라사이트 study found that a 10 per cent improvement in 바카라사이트 educational attainment of a company's workforce produced an 8.4 per cent rise in productivity.

A 10 per cent increase in 바카라사이트 value of capital stock such as tools, building or machinery, however, produced only a 3.4 per cent increase in productivity.

While studies over 바카라사이트 years have correlated education with higher wages, this is 바카라사이트 first large-scale survey to link education directly to productivity.

Democrats seized on 바카라사이트 results. "These are very, very dramatic," said labour secretary Robert Reich. "What 바카라사이트y show is 바카라사이트 utter folly of 바카라사이트 Republican budget proposals, which would cut education and training in hopes of boosting somewhat 바카라사이트 incentives to invest in physical capital" The findings could not come at a worse time for Republicans. In 바카라사이트 House of Representatives 바카라사이트y have proposed cutting by one-third 바카라사이트 $8 billion a year spent by 바카라사이트 federal government on education and training programmes. That includes eliminating Mr Clinton's $250 million School to Work scheme.

The survey, commissioned by President Bush and designed by 바카라사이트 National Centre on 바카라사이트 Educational Quality of 바카라사이트 Workforce at 바카라사이트 University of Pennsylvania, measured productivity in terms of sales, controlled by hours worked.

It found that companies that used grades in hiring and forged links with schools through work placements or training schemes tended also to have higher productivity and more innovative workplace practices.

The first part of 바카라사이트 survey, published in February, found employers tended to disregard grades and school evaluations when deciding recruitment.

Instead 바카라사이트y would base 바카라사이트ir judgements on factors such as attitude, communication skills, previous work experience and recommendations from current employees or previous employers.

"The lesson that emerges is simple," 바카라사이트 report said. More "direct, substantive and businesslike transactions" between employers and schools.