Constructing knowledge societies: new challenges for tertiary education

In this report, the contribution that tertiary education makes to countries’ participation in a knowledge-based world economy is described and policy options for tertiary education that may enhance economic growth and reduce poverty are investigated. The report considers the questions of why tertiary education is important for economic and social development, how the benefits of tertiary education can be used by developing and transition countries and how the World Bank and other development agencies can assist in this process. The report emphasises a number of new trends in tertiary education, such as the emerging role of knowledge as a major force in economic development, changes in modes of delivery and organisation, the rise of market forces and the recognition of the need for a more holistic system of education. The main findings of the report are: tertiary education is necessary for the creation, dissemination and application of knowledge; developing and transition countries are at risk of being further marginalised due to inadequately prepared tertiary education systems; the state has a responsibility to encourage innovation in tertiary institutions through an enabling framework; and the World Bank can assist its client countries to improve the effectiveness and responsiveness of their tertiary education systems. Show less