The Empirical Analysis Of The Impact Of Educational Differences On Economy In Xinjiang

On this knowledge economy age, the exploitation of human resource plays a more and more important role in economic development, and the exploitation of human resource can't work out education. The development of Xinjiang's education relatively drops behind. The regional differences and urban-rural differences in education and other issues bring about a number of obstacles in the economic development. Therefore the educational development and innovation are imperative. On the basis of existing research this paper studies the impact of educational differences on economy respectively from the aspects of regional differences, urban-rural differences and differences in investment returns. And corresponding countermeasures and suggestions are given to provide scientific basis for the government's making policies.Firstly, we analyze the impact that differences in regional education have on economic development with the method of panel data analysis. Studies show that the development of education affects the local economic development to a certain extent in Xinjiang. Other factors unchanged, the higher the student-teacher ratio in a region, the lower relatively the educational development level, and this hinders the development of local economic development. And a few more graduates that ten-thousand people own in a state, the higher the level of educational development, it can promote better development of the local economy. Then countermeasures and proposals such as enlarge educational input of behindhand areas and attract qualitive teachers to work in undeveloped areas are given for accelerating economic development in Xinjiang.Secondly, we study the impact that urban and rural educational differences have on economic development in Xinjiang through cointegration analysis. Research shows that there is a disparity in educational and economic development between urban and rural areas in Xinjiang, and there is long time equilibrium in educational and economic development between urban and rural areas. The prior period schooling ratio increase one unit will lead 1.9599 unit increases in the ratio of urban and rural areas' income. Policy proposals are given to coordinate the development of urban and rural education and economy in Xinjiang, for example, enlarge the input of rural education, and improve the quality of rural education.Thirdly, we analyze investment returns in education of Xinjiang respectively from the aspects of government and individual. In which we use a deformation of the labor function as model in the study of government investment returns in education. And we obtain data of individual investment returns through the issuance of questionnaires, and study the issue with the Mincer Function method. The conclusions are: compared with other districts of the nation, government investment returns in education is higher relatively in Xinjiang, yields of 0.1505, that is, in condition that other factors input unchanged, public education capital increase of 1% will lead to gross domestic product increase of 0.15%. It means that the government increase investment in education is to increase revenue. While individual investment returns in education is very low, individual time of education for each additional year, income growth is only 1.7%. Therefore, in order to achieve maximum gains, while guiding individuals actively to invest in education the government should pay more attention to enlarging the educational investment in Xinjiang, and improve the efficient of educational investment to develop education for promoting better economic development.The innovations in this article are as follows:firstly we study the relationship between educational differences and economic development of Xinjiang from several angles, it is helpful for more in-depth and comprehensive understanding of the problem. Secondly we study investment returns in education of both the government and individuals and by comparing we get the actual situation of education investment returns in Xinjiang, and it may facilitate the government to formulate better policies.