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The Bank’s Portfolio in LAC. Washington, February 18,2004. - PowerPoint PPT Presentation
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The World Bank
The Bank’s Portfolio in LAC
Washington, February 18,2004
The World Bank
Economic and social development are increasingly driven by the advancement and application of knowledge. Education in general — and tertiary education and research in particular — are fundamental to the construction of a knowledge economy in all nations
The World Bank
However, S&T systems in developing and transition countries face persistent problems of finance, efficiency, equity, quality and governance
New challenges linked to rapid changes in technology, communication and the globalization of trade and labor markets have amplified the traditional problems of tertiary education and S&T
The World Bank
Challenge ...
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Knowledge Market
the knowledge market is global and open, – knowledge producers exchange
knowledge at “low price”– knowledge users have access at “high
price” knowledge is not consumed when it is
applied
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Lessons ...
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Knowledge is a critical determinant of economic growth and quality of life
Knowledge is transformed into goods and services through a country’s NIS
Trained human brains are the most effective knowledge transfer and adaptation mechanism
Good science is international
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Recognition of the Importance of S&T for Development is Not New
technology transfer is involved in virtually every sector
usually includes building of capacity to understand and use new technologies
sectors such as agriculture, education, and health have emphasized building local capacity to generate or utilize new knowledge for development
The World Bank
EA60%
AFR4%
LAC31%
MENA4%
ECA1%
SA0%
World Bank Lending, 1992-02 (volume by region)
HE and S&T Lending not including Agricultural Lending was concentrated predominantly in East Asia and Latin America
ECA1%
SA0%
MENA4%
LAC31%
EA60%
AFR4%
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Trends ...
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Scientists and Engineers 1988 y 1998
Source: World Development Indicators 2002
Argentina
Spain
Chile
Korea
0
500
1000
1500
2000
2500
20 25 30 35 40 45
Science and enginnerng students (% of total tertiary)
Scie
nce a
nd e
ngin
eers
in R
&D
The World Bank
Tertiary- OK given level of GDP but...
0
20
40
60
80
100
120
Arg Bra Chi Mex Gre Cor Esp Irl Hol Fin
Source: Brunner 2001
Ph.D.s in Science/million habitants 1996-1997
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Increased Returns to Schooling(Brazil)
60
70
80
90
100
110
120
130
1982 1984 1986 1988 1990 1992 1994 1996 1998
Tertiary
Upper sec
Primary
Low er sec
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Increased Private Sector Response(Colombia)
0%
20%
40%
60%
80%
100%
1960 1965 1970 1975 1980 1985 1990 1995
Public
Private
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Demand and GNP(Colombia)
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%
1988 1990 1992 1994 1996 1998 2000
Changes in
first tim
e e
nro
lment
-6.0
-4.0
-2.0
0.0
2.0
4.0
6.0
GD
P-g
row
th in
%
First time enrolment Private GDP growth
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.. an Equity Challenge(Colombia -- 1992 and 1997)
0
0.1
0.2
0.3
0.4
0.5
1 2 3 4 5
Quintiles
Co
vera
ge 1992
1997
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Origin of Foreign Students in OECD - 1999
Source: OECD
East and Southeast Asia
27%
Latin America and the
Caribbean3%
South Asia6%
China & SAR H.K.14%
Europe34%
Middle East and North
Africa10%
North America (excl. Mexico)
6%
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NIS …
Human Capital
UniversityThink Tanks/ Antenna
Firms
Innovation & TFP Growth
The FPSI Challenge: Other Public Policies
Rules of the Game Infrastructure (ICT) Demand for innovation
Global Knowledge Economy
National Innovation System
Innovation Clusters
Global Knowledge Economy
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Closing the gap
Skilled people Knowledge networks and centes of
excellence Creation and transformation of knowledge Strengthening of culture and language Information infrastructure National Information System
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WB Education Portfolio in LAC 2002
Science and Technology
6%
Primary48%
Secondary17%
Vocational12%
Tertiary17%
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Tertiary Education in LAC
ProjectComponents
Strategy Addressing Needs
Building a Market for
Tertiary Education
Improving Public Sector’s
performance
5. Student Loans
4. Labor Market Observatories
3. Quality Assurance Mechanisms
2. Public Competitive Funding
1. Institutional Capacity Building
Low Enrolment
Low Quality
Low Relevance
Low Equity
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• it is critical to aim at subsidiarity and coherence in policies and practices. Ofthen lack of continuity in funding and coherence of science and technology policies.
governments should resist the risk of neglecting fundamental science and social sciences, which both are very important components of the NIS.
transparency in communication between players are of critical importance. Can be facilitated by international participation, fx. as peer reviewers, program committees, program reviews, and supervision teams
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• improve policies and institutions within a framework of autonomy and accountability
• recognize and support human resources and management capacity
• achieve funding sustainability through public-private interaction and cost-recovery
• aim at merit and scientific rigor (through competitive funding, peer review, etc.)
• establish linkages from productive and the knowledge sectors to basic research and the international knowledge base