University Education in Finland

• The government of Finland has announced extra funding for tertiary education (university education). It is expected that this will result in the percentage of young Finnish adults with a third level qualification will rise from 39% to 50%. Assess the impact of this on the Production Possibility Curve of Finland. (12)

• Explain how third level education involves an opportunity cost both for the government and the indivual. (4)

This twelve mark question• Uni ed improves efficiency and potential of labour.• Uni ed produces a more motivated and focused workforce. • Uni ed improves ability of labour to operate other FOPs. • Uni ed helps attract FDI (esp R+D)• Graduates may leave Finland. • It takes time to study at Uni – negative impact on PPC while

students are at college. • Risk of overqualification – not enough ppl for unskilled and semi

skilled work.• Stat only tells us % of ppl with qualification – nothing about the

quality of education. • There is a benefit to Uni Ed that is beyond monetary value, cannot

be shown on PPC. • Will the courses offered be of economic/aesthetic value?

Top 20 countries in the world where 24-35 year olds have university degree.

1 South Korea 63.82%•2 Japan 58.70%•3 Canada 56.70%•4 Russia 56.46%•5 Ireland 47.19%•6 UK 46.91%•7 Norway 46.80%•8 Luxembourg 46.64%•9 New Zealand 46.04%•10 Israel 45.04%

• 11 Australia 44.61%• 12 USA 43.13%• 13 France 43.01%• 14 Sweden 42.86%• 15 Belgium 42.45%• 16 Chile 41.30%• 17 Netherlands 39.90%• 18 Switzerland 39.80%• 19 Finland 39.37%• 20 Iceland 39.37%