Chapter 1: Introduction
Human capital development is inextricably linked with productivity growth and improvements in living standards. Productivity can be influenced through investment in education and training.
Employers, employees and the economy as a whole benefit from investments in education and training.
In the years immediately ahead, labour productivity will be the key determinant of economic growth in Ireland, and increasing productivity will depend to a large extent on education and training. A workforce that is better educated and trained can produce higher value goods and services, and is more likely to be innovative.
Improved education and training also yield a social dividend: they result in better social cohesion and public health, and mitigate against poverty, crime and social welfare dependency.
Finally, globalisation requires a flexible workforce. Ireland, as a small open economy, must be able to respond rapidly to changes in the world economic and technological environment; only a well-educated population is able to respond in this way.
Sustained and enhanced investment in the educational and training infrastructure is thus necessary and desirable for the foreseeable future.
