Negative Externalities of Education the Externalities of Essay

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Negative Externalities of Education

The externalities of education are the social and public rewards or incentives that emanate from a person's education that help members of the society within the current and future generations. Positive externalities are regarded as the spillover effects whereas negative externalities are external costs. While education has largely been identified with positive externalities since it generates external returns for the society, it also has negative externalities. The negative externalities form the basis with which the adoption of private schooling systems is endorsed rather than public schooling systems.

Negative Externalities of Education:

Some of the evident negative externalities of education that take place in several ways include the following

More Individual Benefits:

One of the major negative externality of education is that the individual acquiring education accrues more benefits that the society. Consequently, the societal benefits of are pretty small as compared to those that the individual accrues from his/her own education (Kling, 2008).

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This is evident from the fact that the individual gets a higher income with extra benefits flowing to him/her. Some of the minor benefits that the society receives from the individual's education include financial incentives from the person's payment of taxes. The other additional individual benefits are consumption advantages that he/she receives from education. Therefore, more individual benefits than societal incentives are one of the negative externalities of education.

Lack of Equal Opportunities:

The second major negative externality of education is the concern regarding its ability to provide equal opportunities. One of the most evident aspects regarding education is that college graduates earn more income than those from high school contributing to the fact that higher education is the key to earning higher incomes. However, there is less participation in high levels of education, particularly on states that spend more on higher institutions of learning. Consequently, there is very less positive link between….....

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