TABLE OF CONTENTS

Topic Name Page No.

Part One Introduction

1.1 Background of the Study 01

1.2 Data Sources and Collection Method 01

1.3 Limitation 02

1.4 Linking Education with Economic Growth: A Literature Review 02

Part Two Education and Economic Growth in Bangladesh-Concept and Reality

2.1 Human Capital Development 08

2.2 The Benefits of Education 08

2.3 The need for Qualitative Improvements in the Labour Force 09

2.4 Education and Development: Where does Bangladesh Stand? 10

Part Three The Education System in Bangladesh

3.1 Current Education System 13

3.2-3.6 Education Scenario and Problems 15

Part Four Methodology, Presentation and Analysis of the Model

4.1 Deriving the Equation 21

4.2 The Education Variable 22

4.3 Analyzing the Impact of Different Level of Education 23

4.4 Running the Regression Model 23

4.5 Findings 24

4.6 Interpretations 25

Part Five Budget Allocation in the Education Sector: An Analysis

5.1 Analysis: Budget 27

5.2-5.3 Findings 27

5.4 Analyzing the Model with Respect to the Model 28

Part Six Policy Recommendations

6.1 Quality of Education 30

6.2 Retention of Students 31

6.3 Fostering Vocational Education 32

6.4 Financing Education 33

Part Seven Conclusion 34

PART One:

Introduction

1.1 Background of the Study:

This study follows the econometric model of a similar study conducted in Taiwan that estimated the importance of primary level education among the labor force in that country. Results showed that primary education indeed had the highest impact in terms of output (GDP). The summary of that article is included in article review section of this report.

Using the same production function and structure, we tested this model in the context of our country for its validity and whether it can identify the level(s) of education that has been influencing economic growth in our country the most.

1.2 Data Source and Collection Method

1.2.1 Data

According to our selected model, we...