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WTO-GATS and the Education Sector in India

Author Affiliations

  • 1 Narsee Monjee College of Commerce and Economics, Vile Parle (W), Mumbai, INDIA

Int. Res. J. Social Sci., Volume 4, Issue (5), Pages 76-83, May,14 (2015)


Education plays a vital role in reducing inequality among nations, promoting social and economic well being, as well as furtheringreal growth. Classical economist Adam smith, as early as 1776, had emphasized the importance of human capital as a critical input for economic development. Neoclassical economists like Solow (1956) also laid emphasis on the importance of a large 'residual' factor in explaining economic growth, which he called human capital. Ricardo and other trade theorists have also identified that, in addition, to differences in physical endowments and natural resources, it is the comparative advantage in human skills which give an edge to nations in international trade. Thus, knowledge, today, is being recognized as the new engine of growth. More and more countries are keen on developing their education sector as a tradable service. The widening of the WTO-GATS agreement to include education is seen as an important development in this context.Therefore, India has to understand the full implications of the GATS agreement in context to the educational sector, identify opportunities and competitiveness invarious sub-sectors, in a bid to chart a future strategy for negotiations under the WTO. This research article attempts to explore India’s position in this regard.


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