DECLARATION A

I’m HUUD ALI MOHAMED declare that this thesis is my original work and has not been
presented in any other university/institution for consideration.
This thesis has been complemented by referenced sources duly acknowledged.

STUDENT NAME:

HUUD ALI MOHAMED

Signature_____________________

Date ______________

i
 DECLARATION B

I confirm that the work reported in this proposal was carried out by the candidate under my
supervision and submitted to the faculty of economic and management Science for examination
with my approval as the supervisor

Mr. EZEKIEL INGUDIA MALENGE

(SUPERVISOR)

Signature: ___________________

Date: ________/ _______/ _______

ii
 APPROVAL LETTER

This thesis is submitted in partial fulfillment of the requirement for the Award for Bachelor
degree of Economics in Faculty of Economic and Management Science in Red Sea University

Red Sea University

Academic year

2021-2022

For the Graduate committee

………………………………

…………………………………

……………………………….

DEAN OF FACULTY ECONOMIC AND MANAGEMENT SCIENCE

Signature: ______________________

Date” ____/______/__

iii
 DEDICATION

I would like to dedicate this project to my lovely father Ali Mohamed duale and my big brother
Mohamed ali Mohamed for the encourage of moral and mental support in the study of my degree
and my the best at all who has paid his afford and time to make me attain this amazing stage and
also dedicate to everyone interesting to read my thesis am also dedicate anyone who participated
in completion of this work thanks every person who support me in this stage.

iv
 ACKNOWLEDGEMENT

First and most I would like to express my grateful thanks to Allah for giving me this privilege and
opportunity to go through the entire process of paper writing, I acknowledge the dean of economic
and management science Mr. Abdi Rahman mukhtar for the accepted and support with me.

I acknowledge my supervisor Mr. Ezekiel ingudia malenge for guiding me through this academic
journey his advice and corrections have not only helped me advance but has also given me lasting
knowledge on research methodology would also like to declare my lovely father Ali Mohamed
duale and my big brother Mohamed ali Mohamed for the encourage of moral and mental support
in the study of my degree of economics and my the best at all who has paid his afford and time to
make me attain this amazing stage also dedicate to everyone interesting to read my thesis am also
dedicate anyone who participated in completion of this work thanks every person who support me
in this stage.

I would also appreciate to Said Ahmed Ali for the support and advice in my thesis book.

I would also appreciate my special classmate’s (khaddar Mahmoud Mohamed, Mohamud Abdi
Rahman Ahmed, Said jama Omar, and all other classmates.
Last I will appreciate my special my closed friendship Khaddar Mahmoud Mohamed and
Mohamud Abdi Rahman Ahmed.

v
 Table of Contents
DECLARATION A ...................................................................................................................................... i
DECLARATION B ..................................................................................................................................... ii
APPROVAL LETTER .............................................................................................................................. iii
DEDICATION............................................................................................................................................ iv
ACKNOWLEDGEMENT ......................................................................................................................... iv
ABBREVIATIONS ..................................................................................................................................... x
ABSTRACT ............................................................................................................................................... xii
Chapter one ............................................................................................................................................... xii
Introduction: ........................................................................................................................................... 1

1.1: Background ...................................................................................................................................... 2

1.1.1: Historical perspective: .............................................................................................................. 2

1.2: Problem Statement: ......................................................................................................................... 6

1.3: Purpose of the Study: .......................................................................................................................... 7

1.4: objectives of the study ..................................................................................................................... 7

1.4.1 General objective: ...................................................................................................................... 7

1.4.2 Specific objectives: ..................................................................................................................... 7
1.4.3: Research question: .................................................................................................................... 7
1.5. Scope of study ................................................................................................................................... 8

1.5.1. geographical area: ..................................................................................................................... 8

1.5.2. Contents scope:.......................................................................................................................... 8
1.5.3: Theoretical scope: ..................................................................................................................... 8
1.5.4: Time scope: ................................................................................................................................ 8
1.6: Significance of the study: ................................................................................................................ 8

1.7 Limitation and Solutions .................................................................................................................. 9

1.8 Conceptual framework ................................................................................................................... 10

1.7: Operational definition of the key terms: ..................................................................................... 11

Chapter two ............................................................................................................................................... 12

Literature Review ..................................................................................................................................... 12

vi
 2.1 Introduction: ................................................................................................................................... 12

2.2 Concept of Educational quality ..................................................................................................... 12

2.2.1 Quality education: Global status ............................................................................................ 13

Defining educational quality within schools, according to OECD ................................................... 13

2.2.2 Qualification ............................................................................................................................. 14

2.2.3 Curriculum ............................................................................................................................... 14
2.2.4 School management ................................................................................................................. 15
2.3 Concept of Economic Development ............................................................................................... 15

2.3.1 Employment creation: ............................................................................................................. 16

2.3.2 Capital Formation .................................................................................................................... 17
2.3.3 Productivity: ............................................................................................................................. 17
2.4 Theoretical Review.......................................................................................................................... 18

2.4.1 Behaviorism Theory................................................................................................................. 18

2.4.2 Social Learning Theory ........................................................................................................... 18
2.4.3 Situated Cognition Theory ...................................................................................................... 19
2.5.1 Human Capital ............................................................................................................................. 20

Basic Theory of Human Capital .......................................................................................................... 20

2.5.2. Solow Growth Model .............................................................................................................. 20

2.5.3 Endogenous or New Growth Theory ...................................................................................... 20
2.6 Empirical Literature ....................................................................................................................... 21

2.6.1 Studies Done Outside Africa ................................................................................................... 21

2.6.2 Studies Done in Africa ............................................................................................................. 23
2.6.3 Studies Done in Somalia .......................................................................................................... 24
2.7 Empirical Literature focusing on the Quality of Education and Economic Development ....... 25

Summery:............................................................................................................................................... 27

Research Gap: ....................................................................................................................................... 28

CHAPTER THREE .................................................................................................................................. 29

METHODOLOGY ................................................................................................................................... 29
vii
 3.0 Introduction ..................................................................................................................................... 29

3.1. Research Design ............................................................................................................................. 29

3.2. Research Population ...................................................................................................................... 29

3.3. Sample size...................................................................................................................................... 29

3.4 Sampling technique ......................................................................................................................... 31

3.5. Research Instruments .................................................................................................................... 31

3.5.1 Questionnaire: .............................................................................................................................. 31

3.6 source of data: ................................................................................................................................. 31

3.6.1 Primary Sources ....................................................................................................................... 31

3.6.2 Secondary Sources ................................................................................................................... 31
3.6 Validity and Reliability of the Instrument .................................................................................... 32

3.7.1 Testing the validity of the research instrument ..................................................................... 32

3.6.2Reliability of the instrument .................................................................................................... 32
3.8Data Collection Methods & Instruments ....................................................................................... 32

3.8.1Questionnaire ............................................................................................................................ 33
3.8.2 Research Procedure ................................................................................................................. 33
3.9.1 Data Processing. ....................................................................................................................... 33
3.9.2 Data Presentation and Analysis. ............................................................................................. 33
3.10 Ethical Consideration ................................................................................................................... 34

CHAPTER FOUR..................................................................................................................................... 35
DATA, ANALYSIS, PRESENTATION AND INTERPERTATION: ................................................. 35
4.0 INTRODUCTION: ......................................................................................................................... 35

4.1Demographic Characteristics of the Respondents ........................................................................ 35

Table 4.1.1 The Age of the Respondents: ........................................................................................ 35

Table 4.1.2 The gender of the Respondents: ................................................................................... 36
Table 4.1.3 Academic Qualification of the Respondents: .............................................................. 36
Table 4.1.4 Experience of the Respondent: ..................................................................................... 37
4.2: level of educational quality: .......................................................................................................... 37

viii
CHAPTER FIVE: ..................................................................................................................................... 49
FINDING, CONCLUSION, AND RECOMMODATION: ................................................................... 49
5.0 Introduction ..................................................................................................................................... 49

5.1 FINDING: ........................................................................................................................................ 49

5.1.1: Quality of educations:............................................................................................................. 50

5.1.2: Economic development: ......................................................................................................... 51
5.2: CONCLUSION: ............................................................................................................................. 51

5.3: RECOMMENDATION: ............................................................................................................... 52

Economic development:........................................................................................................................ 53

ix
 LIST OF TABLES

Table 3.3.1 .............................................................................................................................................. 30

Table 4.1.2 .............................................................................................................................................. 36
Table 4.1.3 .............................................................................................................................................. 36
Table 4.1.4 .............................................................................................................................................. 37
Table4.2.1 ............................................................................................................................................... 38
Table4.2.2 ............................................................................................................................................... 38
Table4.2.3 ............................................................................................................................................... 39
Table4.2.4 ............................................................................................................................................... 39
Table 4.2.5 .............................................................................................................................................. 40
Table 4.2.6 .............................................................................................................................................. 40
Table 4.2.7 .............................................................................................................................................. 41
Table 4.2.8 .............................................................................................................................................. 41
Tablel4.2.9 .............................................................................................................................................. 42
Table 4.2.10 ........................................................................................................................................... 42
Table 4.3.1 .............................................................................................................................................. 43
Table 4.3.2 .............................................................................................................................................. 43
Table1 4.3.3 ........................................................................................................................................... 44
Table 4.3.4 .............................................................................................................................................. 45
Table 4.3.5 .............................................................................................................................................. 45
Table 4.3.6 .............................................................................................................................................. 46
Table 4.3.7 .............................................................................................................................................. 46
Table 4.3.8 .............................................................................................................................................. 47
Table 4.3.9 .............................................................................................................................................. 47
Table 4.3.10 ........................................................................................................................................... 48

x
 ABBREVIATIONS

1. UNESCO: it means this word the (United Nations Educational Scientific and Cultural
Organization).
2. PPP: it means this word the (Purchasing power parity).
3. GDP: it means this word (Gross domestic product).
4. FPENs: it means this word in (Formal Private Education Network).
5. NGOs: it means this word the (non-governmental organizations).
6. SSSCE: it means this word the (senior secondary school certificate examinations).
7. IBE: it means this word (international bureau of education).
8. OECD: it means this word the (Organization for economic co-operation and
development).
9. GMM: it means this word (Generalized Methods of Moments).
10. OLS: it means this word the (ordinary least squares regression).
11. PISA: it means this word the (program for international student assessments).
12. RD: it means this word the (research and development).
13. SPSS: it means this word in (Statistical Package for Social Scientists).
14. IMF: it means this word the (international monetary fund).

xi
 ABSTRACT

The study investigated the role of educational quality and economic development.
The educational quality concept of quality in the field of education is not new; therefore, it is
even important to understand how the quality debate has evolved over the years and how it has
come to be linked with the provision of education.

This chapter describes the theoretical aspect of quality concept, its historical origin in the field of
education, various related models and approaches.

It is being argued that the concept of quality in education is multifaceted; it does not possess any
specific definition; different scholars have interpreted the concept differently. The differences lie
not only in the way this concept is defined, but is also reflected in the manner in which quality is
measured.

Economic development: is a process whereby the people of a country utilize the available
resources in such a way that the per capita income of the country increases".

This study aims to determine the role of innovation, capital formation and revenue maximization
on economic development in Somalia.

This study was used the descriptive survey research design specifically the descriptive correlation
strategies, Qualitative approaches were used systematic random sampling techniques and
questionnaires were used for the collection of data which was implied and analyzed using the
Statistical Package for Social Sciences (SPSS) version 20.0 Based on a review of the literature and
findings of questionnaires demonstrated that increase in innovation and capital formation leads to
economic development.

The study found strong positive relationship between Educational quality and economic
development.

xii
 Chapter one
Introduction:
The first chapter outlines the background of study that will be discussed as historically, globally,
continently, and nationally. This chapter consists of background of study, problem statement,
purpose of study, research objectives, research questions, scope of the study, and significance of
the study.

The eruption of civil war in 1988 and the subsequent collapse of the central state in 1991 severely
disrupted all public social services in Somalia. The education system in Somalia was entirely
destroyed. Prolonged periods of instability and intermittent conflict constrained the ability of local
populations and the international community to rehabilitate the country’s educational facilities and
resources. Destruction of the sector went far beyond the deterioration of physical infrastructure. It
is estimated that more than 80% of the educated elite left the country in the period since the conflict
began (Lindley, 2008). This extended period of insecurity and instability has robbed a generation
of young Somali men and women the chance to attend formal education. Somalia now suffers from
one of the lowest literacy rates in the world (Cummings and van Tonningen, 2003).

In Somalia Education provides a foundation for development, the groundwork on which much of
our economic and social wellbeing is built. As mentioned different reports indicated that people
in Somalia as family life’s below One dollar per day, this shows low economic development for
past 30 years. Education it is the key to increasing economic efficiency and social consistency. By
increasing the value and efficiency of their labor, it helps to raise the poor from poverty. It
increases the overall productivity and intellectual flexibility of the labor force. It helps to ensure
that a country is competitive in world markets now characterized by changing technologies and
production methods. By increasing a child’s integration with dissimilar social or ethnic groups
early in life, education contributes significantly to nation building and interpersonal tolerance.

1
1.1: Background
1.1.1: Historical perspective:
Education in every sense is one of the fundamental factors of development. No country can achieve
sustainable economic development without substantial investment in human capital. Education
enriches people’s understanding of themselves and world. It improves the quality of their lives and
leads to broad social benefits to individuals and society. Education raises people’s productivity
and creativity and promotes entrepreneurship and technological advances. In addition, it plays a
very crucial role in securing economic and social progress and improving income distribution.

In education, normalization means making maximum use of the regular school system with a
minimum resort to separate facilities. It may, therefore, be argued that normalization gave rise to
the concept of integration. However, normalization did not recognize the existence of a wide range
of individual differences in the society and "the diversity of educational, vocational and other
opportunities that are available to people in the adult world" (Jenkinson, 1997: 12). We need also
to question who and what is 'normal' as well as the value of programmers that ensure conformity
to some predetermined norm of behavior. Under normalization, people's individuality seems to be
overlooked. (J. Jenkinson, 1997)

In globally quality education is one that focuses on the whole child--the social, emotional, mental,
physical, and cognitive development of each student regardless of gender, race, ethnicity,
socioeconomic status, or geographic location. It prepares the child for life, not just for testing. For
a full history and understanding of the factors which have impacted upon the development of Lao
PDR as a country, readers should refer to some of the excellent histories available, which give a
far more detailed insight than is possible here (Jumsai, 2000) (Stuart-Fox, 2007)

A great deal of confidence however can be drawn from lessons learnt from developed countries;
when in 1957, the former United Soviet Socialist Republic propelled the universe’s premier
artificial satellite, the Sputnik, the American government learnt so fast from that and the result
was an overhaul of their education system both in content and in curriculum delivery methodology.
Ten years later, the U.S.A was able to land safely on the moon, and thirty years after, they won
the cold yet no single bullet was fired. It is very obvious that the sprint to the moon in 1969 and

2
the win in the cold war in 1989 were won not anywhere else but in the classroom, (Ed Wallace,
2005).2

Beyond these lessons, it is generally accepted, at least in theory, that education plays a major role
towards promoting economic growth. Education is a major part of human capital development is
accepted to play a critical in enhancing the productive ability of the masses. It, more so, at tertiary
level, contributes significantly to growth in the economy and development by rendering laborers
more productive and ultimately by enhancing the ability of the individuals to create of ideas and
to become technologically innovative.

Much research has been carried out upon quality education by theorists and that has demonstrated
an improvement in the system of education. Likewise, the concept of content driven education and
hidden curriculum should be taken into account when scrutinizing quality education. Gravett
(2001)

According to the UNESCO (EFA Global monitoring report, 2005) quality education should be
contributing to the development of a child in terms of creativeness, emotional and cognitive
capacities.

Quality education does not imply students filling up seats at school just for the sake of attaining
better grades. In fact, it must demonstrate how the children adapt to education, how much they
learn and the speed at which they learn. In addition to the developing of creativity and emotion,
the children should become a responsible citizen that is they should be instilled citizenship values.
Even though UNESCO has set up goals to accomplish "Education for All", it fails to take into
account the poor nations or countries which are not capable of executing these recommendations
as they do not have the resources (UNESCO, 2000).

Higher education is known to take place after secondary school education and is delivered in
higher institutions of learning which include universities (Jongbloed, Enders, & Salerno, 2008),
colleges (Brubacher, 2017) and institutes of technology (Altbach, 2015). Higher education
improvement strategies have become very necessary as key stakeholders globally expect
improvement of outcomes in higher education which is in line with total quality management in
education (Sallis, 2014; Sherr & Lozier, 1991). According to Fishman, Ludgate and Tutak (2017)
3
college graduation is an uncertainty to some undergraduates due to their inability to cope with the
higher education system and this has led to an increase in dropout rates of students who desire
higher education qualifications. This concern further stresses the need for continuous educational
change with a focus of improving teaching and enhancing student learning as required by
universities (D'Andrea & Gosling, 2005),

In Africa quality education provides resources and directs policy to ensure that each child enters
school healthy and learns about and practices a healthy lifestyle; learns in an environment that is
physically and emotionally safe for students and adults; is actively engaged in learning and is
connected to the school and broader community; has access to personalized learning and is
supported by qualified, caring adults; and is challenged academically and prepared for success in
college or further study and for employment and participation in a global environment.

The statement also describes the current state of education in the world and calls on educators to
promote a whole child approach to education in an ever evolving society.

To achieve the critical outcomes of improved teaching and enhanced learning in universities, the
role of human designated participants in the initiating, implementation, continuation and outcome
of change in education. (David, 2005).

In Kenya the link between education and economic growth in some of the early work on the
economics of education was based on the argument that a major effect of more education is that
an improved labor force has an increased capacity to produce. Because better-educated workers
are more literate and numerate, they should be easier to train. It should be easier for them to learn
more complex tasks. In addition, they should have better work habits, particularly awareness of
time and dependability with eventual reflection on the outputs from their work (Temple, 1999).

Education in Somalia refers to the academic system within Somalia. The ministry of education is
officially responsible for the education in Somalia, with about 15% of nation’s budget allocated
to scholastic instruction. The breakaway of Somaliland maintains its advanced ministry of
education. (Retrieved 2019)

However, the relationship between schooling and employability is complex, often influenced by
many factors. Schools are embedded in the society and what goes on in the society is likely to
4
influence the school’s outcomes. The social political, historical and economic factors that shape
school outcomes are well documented (Aronowitz & Giroux, 19985, Okwach & Abagi, 2005).

Puntland has functioned as an autonomous region within Somalia since 1998, and the authorities
have worked to develop education provision. There has been an increase in access to primary
education recently, but more than 50% of children still do not attend school.

The quality of teaching remains a major challenge, with 83% of teachers having never received
teacher training. Puntland also faces challenges transitioning children to secondary school and
providing vocational or higher education options. (Jongbloed, 2008)

The quality of education is one that focuses on the whole child- the social, emotional, mental,
physical, and cognitive development of each student regardless of gender, race, ethnicity,
socioeconomic status, or geographic location. It prepares the child for life, not just for testing.

Globally Economic development originated in the post-war period of reconstruction initiated by

the United States. In 1949, during his inaugural speech, President Harry Truman identified the
development of undeveloped areas as a priority for the west. Jaffee, David (1998).

Economic development, as a public sector term, is the process by which the economic well-being
and quality of life of a nation, region or local community are improved according to targeted goals
and objectives. The term has been used frequently in the 20th and 21st centuries, but the concept
has existed in the West for centuries. "Modernization", "Westernization", and especially
"industrialization" are other terms often used while discussing economic development.
Greenwood, Daphne T.; Holt, Richard P. F. (2010). Local Economic Development in the 21st
Century.

Some parts of Africa had close trade relationships with Arab kingdoms, and by the time of the
Ottoman Empire, Africans had begun converting to Islam in large numbers. This development,
along with the economic potential in finding a trade route to the Indian Ocean, brought the
Portuguese to sub-Saharan Africa as an imperial force. Colonial interests created new
industries to feed European appetites for goods such as palm oil, rubber, cotton, precious
metals, spices, cash crops other goods, and integrated especially the coastal areas with the
Atlantic economy. "European Trade, Colonialism, and Human Capital Accumulation in
5
Senegal, Gambia and Western Mali, 1770–1900 – African Economic History Network
Retrieved 17 August 2017".

The dawn of the African economic boom (which is in place since the 2000s) has been compared
to the Chinese economic boom that had emerged in Asia since late 1970s. In 2013, Africa was
home to seven of the world's fastest-growing economies. “Africa calling". As of 2018, Nigeria
is the biggest economy in terms of nominal GDP, followed by South Africa; in terms of PPP,
Egypt is second biggest after Nigeria,"IMF.org. Retrieved 9 April 2017.

In Somalia two decades of civil war, the economy of Somalia has survived as an informal
economy, based mainly on livestock, remittance or money transfers from abroad, and
telecommunications. Somalia is classified by united nation as a least developed country, with the
majority of its population being dependent on agriculture and livestock for their livelihood.
“World fact book. central intelligence Agency 2009”

According to Prof. Winston: “Economic Development shows the excess of consumption and
production of a country as compared with increase in population. This increase in population is
due to better combination and increase in the productivity of the factors of production".

1.2: Problem Statement:

Providing access to quality education and expanding learning opportunities for the students of
the underserved communities in both rural and urban areas continues to be a major challenge.
Including more than 50% of children still do not attend school. The quality of teaching remains
a major challenge, with 83% of teachers having never received teacher training. Puntland also
faces challenges transitioning children to secondary school and providing vocational or higher
education options. (Jongbloed, 2008) Somalia is "characterized by a severe lack of basic
economic and social statistics". This situation has been exacerbated by the civil war and
institutional collapse, although even prior to Somalia's state failure. (African Development
Bank). In fact, the Somali case clearly indicates that violent conflict and physical insecurity
concern the greener areas of the region, where cropland and urban resources are at their best,
according to the African Development Bank, in this case is the reason why I am carry in this

6
 study Role of educational quality and economic development, as well if the problem will
continue it will be lead the poor of educational quality and un economic development.

1.3: Purpose of the Study:

The purpose of this study is to investigate the quality of education and Economic Development
in Bosaaso Puntland Somalia.

1.4: objectives of the study

1.4.1 General objective:
To establish relationship between the quality of education and Economic Development in
Bosaso punt land Somalia

1.4.2 Specific objectives:

• To find out democratic characteristics of respondents in terms of Age, gender,
qualification, experiences.
• To determine level of quality of education system in Somalia in term of Qualification,
Curriculum, Teaching Methods, and School Management in Bosaso Puntland Somalia.
• To examine level Economic Development in Puntland Somalia in term of Employment
creation, Literacy rate Capital Formation in Bosaso Puntland Somalia.
• To determine if there a significant relationship between the level of the quality of
Education and Economic Development in Somalia.

1.4.3: Research question:

• What is the characteristics of respondents in terms of Age, gender, qualification,
experiences?
• What is the level of quality education system in Somalia in term of Qualification
Curriculum, Teaching Methods, and School Management?
• What is the level of Economic Development of Somalia in term of Employment creation,
Literacy rate, Capital Formation?
• Is there a significant relationship between the level of quality education and Economic
Development of Somalia?

7
1.5. Scope of study
1.5.1. geographical area:
The scope of study of the quality education and Economic Development in Bosaso Somalia
which most population Puntland state of Somalia is the commercial city of Puntland, Bosaso is
the largest and fastest in growing of Somalia northeastern part of Somalia is the largest populated
in Somalia Puntland I was investigated especially Formal Private Education Network (FPENs)
in Bosaaso Somalia that’s way I will study this research.

1.5.2. Contents scope:

Study examines the quality education and Economic Development the
significance relationship between the independent variable quality
education and dependent variable Economic Development.

1.5.3: Theoretical scope:

Human capital theory proposed (Wood hall, 1997) emphasizes how education increases the
productivity and efficiency of workers by increasing the level of cognitive stock of economically
productive human capability, which is a product of innate abilities and investment in human being.

The provision of formal education is seen as an investment in human capital, which proponents of
the theory have considered as equally or even more worthwhile than that of physical capital.

This theory states investment in human capital and increases the productivity and efficiency of
human being, so that my study quality of education Towards Economic Development is related
with this theory of human capital theory.

1.5.4: Time scope:

The research was conducted from December 2021 to April 2022.

1.6: Significance of the study:

The findings of this study will redound to the benefit of the society considering that Educational
Quality play an important role in economic development and the overall well-being and self-
sufficiency.

8
 Knowledge of this study is a principle agenda to government, researchers, NGOs and
Academicians as well researchers.

This study is important for the people of Puntland as a whole and especially for the Bosaso
Educational quality, those starting a new education and those have already started. This study is
also important for the government to decide the best ways to improve the development of
Educational quality in order to contribute to the economic development and creation of
employment opportunities to avoid poor quality of education and unemployment.

This study will provide strategies and procedures to establish successful Education and the role
of educational quality in economic development, as much as this undertaking is primarily for
academic purposes, its findings and recommendations are important for both practical use and
future references.

1.7 Limitation and Solutions

The researcher claimed an acceptable (0.05 level of significance) 5% margin of error in view of
the following anticipated threats to validity with relevance to this study:

1. Testing: Differences in conditions and time when the data was obtained from respondents by
different persons on different days at different hours. This was minimized by orienting and
briefing the research assistants on the sampling techniques and data gathering procedures.

2. Extraneous variables: The researcher did not have control over the extraneous variables such
as honesty of the respondents, personal biases and descriptive nature of the Design. For
untruthfulness where some of the respondents were expected not to say the truth, the researcher
probed the respondents further to establish the truth when it deemed necessary and personal
biasness were also avoided by the researcher.
3. Attrition/ Morality: Not all questionnaires may be turned completely answered nor even
retrieved back due to circumstances on the part of the respondents such as travels, sickness,
hospitalization and refusal/withdrawal to participate. In anticipation to this, he the researcher
will reserve more respondents by exceeding the minimum sample size. The respondents will

9
 also have reminded not to leave any item in the questionnaires unanswered and will be closely
followed up as to the date of retrieval.
4. Cost the researcher experienced a problem of limited finances with respect to this study. Costs
regarding this limitation included transport, printing and photocopying of relevant materials.
However, the researcher had to borrow some money from relatives, friends and used it
sparingly so as to overcome the cost constraint.
5. Time the researcher experienced time constraint in data collection, analysing of data and in
final presentation of the report. However, the researcher overcame this problem by ensuring
that the time element was put into consideration and that all appointments agreed upon with
respondents were fully meet.
6. Non responses the researcher also experienced a problem of non-response from respondents
who were given the questionnaires to fill. However, the researcher assured the respondents that
any information given was to be treated with maximum confidentiality.

1.8 Conceptual framework

The various variables in this study and their relationship can be linked as follows;

INDEPENDENT VARIABLE DEPENDENT VARIEBLE

QUALITY OF EDUCATION

 Qualification
ECONOMIC DEVELOMENT
 Curriculum  Employment creation
 Literacy rate
 Teaching Method  Capital Formation
 Productivity
 School Management

10
Figure1 shows quality of Education and Economic Development, namely Qualification
Curriculum, Teaching Methods, and School Management. The Economic Development in terms
of Employment creation, Literacy rate, Capital Formation and productivity.

1.7: Operational definition of the key terms:

The criteria for defining the size of Educational quality differ from country to country. As a
reference to, The European commission`s definition of Educational Quality and Economic
Development.

Education: is the process of facilitating learning, or the acquisition of knowledge, skills, values,
beliefs, and habits. Educational methods include teaching, training, storytelling, discussion and
directed research.

Quality: the standard of something as measured against other things of a similar kind; the degree
of excellence of something.

Economics: is the social science that studies how individuals, organizations, and societies
manage the scarce resources under their control for the satisfaction of their needs and desires.
Economics focuses on the behavior and interactions of economic agents and how those
interactions work particularly and as a whole.

Development: is a process that creates growth, progress, positive change or the addition of
physical, economic, environmental, social and demographic components.

11
 Chapter two

Literature Review
2.1 Introduction:
This chapter reviews literature for the study. It discusses the concept of quality of education and
economic Development, theoretical review of the study, and Empirical related studies. The related
literature section is divided further into 3 subsections namely: studies done in countries outside
Africa, studies done in Africa and then narrow down to studies done in Somalia.

Over the year’s various works have examined the relationship between the quality of education
gotten from the outcome of education and economic growth. Some economists have emphasized
different means through which quality of education may affect economic development. Some
economists claim that it is increase in government expenditure on education that leads to economic
development. Some others have stressed the level of school attainment obtained by individuals as
the driving force to economic development.

2.2 Concept of Educational quality

Education in every sense is one of the fundamental factors of development. No country can achieve
sustainable economic development without substantial investment in human capital. Education
enriches people’s understanding of themselves and world. It improves the quality of their lives and
leads to broad social benefits to individuals and society. Education raises people’s productivity
and creativity and promotes entrepreneurship and technological advances. In addition, it plays a
very crucial role in securing economic and social progress and improving income distribution.

Quality of education is a complex concept. UNESCO (2005), for example, contends that while all
over the world there is a growing agreement about the need to provide access to education of good
quality, there is much less agreement about what the term quality actually means in practice. The
term “quality education” varies dramatically from country to country depending on cultural and
economic priorities. Despite the near universal agreement as to what cognitive skills comprise,
they are not entirely culturally neutral (UNESCO, 2005). This variability can make it challenging
especially for developing nations when trying to set educational policies that provide necessary
specificity and guidance for curricular and educational development.
12
For the latter, quality of education includes process and outcome of education but excludes access
and inputs of education. They, however, understand these quantitative aspects as important
components of education achievement.

2.2.1 Quality education: Global status

According to the Education for All global monitoring report (2015), Quality education is defined
as improving all aspects of the quality of education and ensuring excellence of all so that
recognized and measurable learning outcomes are achieved by all, especially in literacy, numeracy
and essential life skills. Moreover, World Education

Forum in Dakar, Senegal, 164 governments agreed on the Dakar Framework for

Action, Education for All: Meeting our Collective Commitments, launching an ambitious agenda
to reach six wide-ranging education goals by 2015.

In 1990, the World Declaration on Education for All (EFA) committed countries to improving
quality of education. The declaration identified quality as a prerequisite for achieving the
fundamental goal of equity.

Due to ambiguousness of the term quality it is yet to establish whether the quality education has
been achieved by the world. Various attempts are taken by different stakeholders to achieve global
education quality. According to basic education coalition, by 2030, all children and youth receive
and complete a quality primary and lower-secondary education with expected learning outcomes.
More and more countries are carrying out national assessments1 that provide countrywide
information about learning outcomes according to nationally defined standards.

Defining educational quality within schools, according to OECD

Educational quality can be defined using a conceptual framework that illustrates education within
schools as a productive system in which school inputs are transferred into outcomes. School
circumstances should be considered as a source of both inputs and constraints.

13
2.2.2 Qualification
Preparing teachers for the challenges of a teaching career means equipping them with subject-
specific expertise, effective teaching practices, an understanding of technology and the ability to
work collaboratively with other teachers, members of the community and parents. Available data
suggest that large proportions of primary school teachers in Africa lack adequate academic
qualifications, training and content knowledge, especially in developing countries. In Ghana,
although the entry qualification for teacher training is six subjects in Senior Secondary School
Certificate Examination (SSSCE), an ongoing study has revealed that an average of 65% of
candidates admitted have very low entry qualifications of aggregates between 21 and 24
(Ankomah, 2005). A parallel of Ghana’s situation 30% of teachers in their first year of experience
met the standards (postsecondary) in the Gambia.

The proportions were even lower in Botswana (10%), Lesotho (11%) and Chad (19%), where the
standard was an upper-secondary qualification and in Togo (2%), Guinea Bissau (15%) and
Cameroun (15%), where it was lower secondary (Source?).

2.2.3 Curriculum
Given the essential role of curriculum in enabling quality learning and in articulating and
supporting education that is relevant to holistic development, our purpose in this paper is to identify
what makes a quality curriculum, so as to support curricular innovation in UNESCO Member
States to the end of the realization of Sustainable Development Goal Four.

Knowledge and education are considered among the major factors contributing to the reduction of
poverty, sustainable development and economic growth – and it is the curriculum that is
increasingly viewed as foundational to educational reforms aimed at the achievement of high
quality learning outcomes.

The curriculum represents a conscious and systematic selection of knowledge, skills and values: a
selection that shapes the way teaching, learning and assessment processes are organized by
addressing questions such as what, why, when and how students should learn.

The International Bureau of Education has such a global mandate to support the development of
good quality curricula in the Member States of UNESCO, and it has a long and successful history
14
of doing so. The IBE works with countries seeking to improve their curricula with the broad aim
of enabling young people to acquire and develop the knowledge, skills and values that will help
them lead successful lives

2.2.4 School management

School Management Concept: Al-Zubaidi defines school administration as: "a set of operational
and technical processes that are carried out through collaborative collective humanitarian action
with the aim of providing the intellectual, psychological and material climate that helps to
stimulate motivation and the desire for active and organized work; individually or collectively to
solve problems and overcome difficulties The educational and social goals of the school are
fulfilled as the society seeks them "(Al-Zubaidi, 1988, p. 97).

Drawing on the definition of school improvement, the concept of effective school improvement
was defined as follows: effective improvement in schools, generally, refers to a planned
educational change that positively affects student learning outcomes and school’s capacity for
managing change (Ainscow and West, 1994). An effectiveness and improvement criterion is
needed to evaluate effective school improvement.

School management remains concerned with school effectiveness. The effectiveness criterion
refers to student outcomes. The pivotal role of the school leader as a factor in effective schools has
been corroborated by findings of school effectiveness research in recent decades (Reynolds, 1976).

2.3 Concept of Economic Development

The importance of education is highly realized since long periods. Here it is good to remember
Plato’s Golden words “The direction in which education starts a man will determine his future
life.” Education is a fundamental instrument for economic development, especially primary and
secondary education is critical for growth and reduction of poverty.

Investment in education has a direct impact on the accumulation of human capital, which is key to
sustained economic growth and increasing incomes.

The economic meaning of education is basic, it enables the poor to increase his productivity by
reducing fertility and improving health. As an instrument, accelerates the strength to fully
participation in the economic affairs of the society.
15
Besides this, institutional basis of civil society, national capacity building, and good governance
is some of the gains from educational activities. (World Bank, 1995, P.19)

Education is an asset that generates not only earnings but also a stream of nonmarket utilities
involving learning and culture. Thus, education can be viewed as consumption and investment
good (Ibid.). But education by itself will not generate growth, it only contributes to economic
growth. Both human and physical capital generates sustained economic growth. Competitive
markets for goods and factors of production; macroeconomic stability; well-functioning labor
markets and openness to international trade and flows of technology can be considered as
necessary conditions for this growth to take place (Ibid., P.20).

According to Schultz (19961), Denison (1967), and World Bank (1991d), economic growth is
partly explained by stocks of labor and physical capital. Its main part generates from quality of
labor force including increased education and better health, technological progress and economies
of scale (World Bank, 1996). It is also documented in the new theories of economic growth as
stated by Romer (1986), Azure ads and Darien (1996), Barrio (1991) that faster technological
change increases the long run economic growth rate and this in turn increases faster as workers
educated more, Therefore the accumulation of human capital and specifically knowledge facilities
the development of new technologies and is a source of self-sustaining growth (Ibid., P.20)

2.3.1 Employment creation:

Employment in a certain activity may be sealed up by the number of employable skilled people
and by timing, contents, and effectiveness of vocational training.

Employment creation happens both in the private and the public sector, while policies and rules
on the labor market and the general economy exert an impact on both. Politicians promising job
creation may mean to foster public expenditure for goods and services produced in the private
sector, thus increasing the number of jobs there.

16
2.3.2 Capital Formation
There have been several attempts to define Capital Structure, all of definitions explain the kinds
of securities and the proportionate amounts that makeup capitalization. It is the mix of different
sources of long-term sources such as equity shares, preference shares, debentures, long-term loans
and retained earnings. One of these definitions for Gangeni (2006) that state the study of capital
structure attempts to explain the mix of securities and financing sources used by corporations to
finance real investment. The firm needs to make investments in order to at least remain in business,
let alone display some growth. To finance these investments, the firms can use internal finance
sources such as retained earnings and issuing shares for public or use external finance sources as
a loans or bonds.

The term capital structure refers to the relationship between the various long-term sources
financing such as equity capital, preference share capital and debt capital as Parmasivan &
Subramanian (2009). Capital structure is the permanent financing of the company represented
primarily by long-term debt and equity and deciding the suitable capital structure is the important
decision of the financial management because it is closely related to the value of the firm. Gitman
and Zutter (2012) defined capital structure as the mix of long-term debt and equity maintained by
the firm.

2.3.3 Productivity:
The recent literature on the development documented that education increases the productivity of
the labor force, improves health, enhances the quality of life, betters the income distribution and
advances the development potentials of the economy. The proposition that educational expansion
promoted economic growth is unquestionable.

Third world countries are deficient in their supply of skilled manpower, without such manpower,
development leadership in both the public and private sectors would be impossible.

Various studies in the developed nations showed that it was not the growth of physical capital but
rather of human capital that was the principal source of economic progress.

17
Therefore, in the developing nations the need to build up the human, as well as physical capital
infrastructure in order to provide indigenous leadership for the major tasks of development is
crucial. (Todaro, 1997, PP.393-394)

2.4 Theoretical Review

2.4.1 Behaviorism Theory
This is among the behaviorist theories; it was propagated by various contributors including John
Watson and Ivan Pavlov to mention a few. It is the view that operates on a principle of “stimulus
response”, that is all behaviors are caused by external stimuli. This theory assumes that, the learner
is essentially passive, responding to environment stimuli. That means all behaviors can be
explained without the need to consider internal mental state or consciousness. Behavior of an
individual will be shaped through both negative and positive reinforcements. Therefore, learning
is defined as a change in behavior in the learner. Both positive and negative reinforcements
increase the probability that the behavior will happen again. Positive indicates the application of
stimulus and negative indicates withholding of the stimulus.

2.4.2 Social Learning Theory

This theory was propagated by Albert Bandura and has often been called a bridge between
behaviorist and cognitive learning theories because it contains motivation, memory and
motivation. According to Bandura, people learn from one another, via observation, imitation and
modelling. It can further be explained that people learn through observing others‟ behaviors,
attitudes, and outcomes of those behaviors.

Bandura stipulated that “Most human behavior is learned observationally through modelling: from
observing others, one forms an idea of how new behaviors are performed, and on a later occasion
this coded information serves as a guide for action.”

He then specified necessary conditions for effective learning to be attention, Retention,

Reproduction and motivation. Where by attention is either increased or decreased by various

factors including complexity, arousal level and ones‟ characteristics to mention a few. Retention
refers to remembering to what you paid attention to, includes mental images and rehearsal to
18
mention a few. Reproduction refers to ability to reproduce the image, and motivation is something
to do with having a good reason to imitate.

2.4.3 Situated Cognition Theory

Situated Cognition is the theory that was put forward by Paul Duguid and Allan Collins to mention
a few. It is the theory that stipulates, “People’s knowledge is embedded in activity, context, and
culture in which it was learned”, and it is also referred to situate learning.

This theory stresses that people’s knowledge is constructed within and linked to the activity,
context, and culture in which it was learned. Cognitive training is an important aspect of situated
cognition. According to this theory, in the course of social interaction between a novice learner
and expert important skills, interactions and experiences are shared. The novice learns as a
beginner, and the expert often passes down the methods and traditions which the beginner can
learn only from the expert and which are genuine learning. This theory has helped researchers
understand more widely about people learn because it focused on what people learn in their
everyday lives.

2.5 Economic development

It is agreed that economists generally have failed to agree precisely on how to foster economic
development, however, it is common knowledge that economic development requires economic
growth, a genuine expansion in income per capita coupled with growth in both political and social
institutions that are essential to sustain the growth of the domestic economy.

Moreover, it also needs citizenry that is able to labor in the industries with efficiency, economic
growth is achieved as the manufacture of goods and services increase at a rate greater than that at
which the population is growing. In addition to the expansion of the per capita income, economic
development also entails a significant change in the arrangement of the economy. The variations
are seen in the growth of the industrial sector coupled with a decreasing contribution of agriculture
to the share of GDP and also major deviations in up country to urban migration, population growth,
and employment possibilities.

Over the years, much has been said by economists about what actually drives economic growth
for an economy. In this section, we discuss the common theories of economic growth as follows:
19
2.5.1 Human Capital
According to Mankiw (2003), human capital is the skill and knowledge that individuals acquire
through means like education from early childhood, programs such as head start to on- the job
training for adults in the labor force.
Human capital raises the ability to produce goods and services in the economy, human capital is
also an important tool in explaining differences in international standard of living.
Loosely speaking, human capital refers to stock of characteristics and knowledge a worker
possesses which can be innate or acquired through education that contributes to his or her
productivity.
This research work focuses on education as a fundamental of human capital; education plays a
vital role in determining the growth rate of any country. Through education countries absorb and
use modern technology, and develop the capacity for self-sustaining growth and development. In
the section below I present some of the variables used for measuring level of education.

Basic Theory of Human Capital

2.5.2. Solow Growth Model
The Solow – Swan (1956) closed economy neoclassical model is a model that explain the
relationship between growth, saving and investment. It was an extension of the Harrod-Domar
model. It introduces labor and technology into the growth equation inclusive with capital
accumulation. The model describes the influence of saving, population growth and technology on
economic growth. The Solow model revealed that, capital accumulation is dependent on saving
rate which leads to higher level of output and faster growth. The model used a Cobb-Douglas
production function in which growth is a function of labor, capital and technology

2.5.3 Endogenous or New Growth Theory

This theory was developed in the 1980‟s with the aim being to define more accurately the
characteristics of economic growth. The driving force behind this theory was that Solow’s model
though correct and sensible was incomplete and therefore there was need to develop a more
complete theory (Cortright 2001).

This theory is described by Cortright (2001) as an assessment of the economy that encompasses
two key points: first, it sees technological advancement as a result of economic activity and second,
20
endogenous theory, he quips, holds that as opposed to physical objects, technology and knowledge
are characterized by increasing returns which determine the process of economic growth.
New growth theory is premised on the notion that increases in efficiency can be tied directly to a
quicker speed of innovation and additional investing in education.

The supporters of the endogenous theory emphasize the necessity for government and private
sector institutions that successfully promotes innovation, and that provide the correct motivation
for individuals and businesses to be inventive. \

2.6 Empirical Literature

Numerous empirical studies have examined the linkage between economic development and
education. Most of these work, however, have been cross sectional which includes developed and
developing economies and there is limited literature on single country approach (Oladoyin 2010)

2.6.1 Studies Done Outside Africa

Among the studies carried out in countries which are outside the African continent and had varied
conclusion and findings are as follows:

Self et al (2004), looked at how education affects economic growth in India. In this study,
education was categorized into its various levels with the aim of finding out how each level had
significance on the expansion of the economy.

He further broke down the education variables by gender in order that he could carry out a further
analysis to determine whether results would varied by gender.

The findings were that education at primary level had a significant causal impact on growth in
comparison to secondary level of education.

He found that educating females at the various levels had the potential for causing growth of the
economy while a causal impact on growth in males was only at primary level.

Abdul Latif et al (2007), employed standard co-integration technique and used time series data for
Malaysia. The divided education into primary school, secondary school and tertiary education.
The finding was that GDP is co-integrated with all educational variables indicating a positive
relationship. In conclusion, they observed that Malaysian government should focus on educational
21
development especially in the first stages in order to achieve highest possible enrolment rates and
raising educational level for its labor force.

Ararat (2007), employed the use of endogenous growth model and a system of linear &log linear
equations. He estimated the importance of different stages of education in triggering significant
growth Russia and Ukrainian economies.

His results indicated that there was negligible impact of educational achievements on economic
growth. He however found that tertiary education has favorable results for income per capita
growth in the long run.

Barro and Sala-i-Martin (1995), found that male education achievement specifically at secondary
and tertiary stages had significant favorable growth effects. GDP, he found, increases by 1.1
percent with an increment in mean male secondary schooling of 0.68 years and that an increase in
tertiary education of 0.09 years raises annual growth by 0.5 percentage.

They also find a relationship between GDP and human capital, which is generally defined to
include health and education, so that economies that remain behind tend to expand rapidly when
they have high levels of human capital.

Barro (1992), employing the extended neo-classical growth model and considering mean growth
rates and mean ratio of investment to gross domestic product over three decades ranging between
1965 to 1995 and using the three stage least squares found, in relation to education that growth
was favorably connected to initial level of mean years of school attainment of grown up males at
secondary and higher level. Growth, however, he found had insignificantly relationship to years
of school attainment of females in secondary and higher levels, this however was observed to be a
result of educated females not being utilized in the labor markets of majority of economies.
Another contradictory result was \\\\\that; growth was insignificantly connected to male schooling
at primary level. That notwithstanding, this level being a pre-requisite for schooling at secondary;
it would therefore impact on growth through this channel.

Jargerson and Frumeni (1992), using growth accounting methodology demonstrated that investing
in both physical and human capitals accounted for a very significant percentage of growth in both
education and industrial sectors of the United States of America’s economy.
22
Growth in labor inputs, he found, accounted for in excess 0.6 of total economic growth.
Improvements in labor quality also explained 42% of this labor contribution.

According to Pancavel (1991), he showed how the contribution of the various stages of schooling
namely primary, secondary and higher education can be arrived at from total measures of the
schooling and efficiency. The results showed that even though the contribution of overall
schooling increased to 23.41 from 14.78, the growth in tertiary education and its comparative
contribution to economic growth in the US was much larger. Pancavel observes that the share of
higher education to economic growth has increased greatly in 1990s.

Chen et al (2000), using a basic multi-variate statistical model and cross sectional data analyzed
the source of cross provincial variations of economic growth in China.

They found that among other things, higher education led to expansion of the economy in China.

In their conclusion, they observed that both levels of government i.e. local and central government
should put emphasis on education in their provinces. They felt that a larger share of government
spending should be on local educational facilities and teacher’s remuneration and also have a labor
system that rewards education.

2.6.2 Studies Done in Africa

Wanjala and Belassi (2004), using time series data analyzed the effect of government spending on
education on real GDP in Uganda in the years 1965 to 1999. They found that average expenditures
on education per worker was positively correlated with economic growth. Their Likelihood test
also showed that education expenditures in their model were also weakly exogenous leading to a
conclusion that education expenditure drive economic growth in Uganda. They were however
quick to point out that, for education expenditure to have the desired outcomes in full, it was
necessary that there be competent administrators at the lower levels of government to formulate
and execute the budget and also to allocate resources effectively to the education sector.

Oladoyin (2010), employing the growth accounting model and relying on co integration and error
correction techniques, analyzed the effects of investing in education on economic growth in
Nigeria. The conclusion was that investment in education contributed positively to economic
growth in Nigeria and also had a strong and statistically significant impact.
23
Kwabena (2010), using panel data on educational attainment studied the impacts of education on
a number development outcome in African economies and concluded that, conditional on other
factors, education has significant positive impact on numerous aspects of development i.e. growth
in incomes, health outcomes, political stability and women participation in national politics.

Impacts of education on development outcomes is nonlinear, different stages of education affects

development outcomes differently, and of importance to this study was his assertion that lower
stages of learning have stronger effects on preventive health than higher education. Education
decreases the probability and intensity of armed conflicts in the African region, everything held
constant.

Bakare (2006), used vector autoregressive error correction model to investigate implications of
growth in human capital in Nigeria. The finding was that there was substantial functional and
institutional connection between the investment in human capital and the expansion of the
economy in Nigeria. A percentage decrease in investment in human capital resulted in a 48% fall
in growth rate of GDP between 1970 and 2000.

2.6.3 Studies Done in Somalia

There is no empirical study that has been carried out in Somali to show the effects of education on
economic growth in Kenya to the best of my knowledge. However, there are some studies which
though not focusing solely on the relationship between economic growth and education, have used
education as one of the variables of interest in their work.

Mohamed and Mustafe\ (2014), analyzed the impacts of composition of public spending on
economic growth. They looked at the connection between government expenditure on education
and many other variables on economic development. The concluded that spending on education
was a very significant booster of economic growth. They therefore recommended increased
expenditure on education as one of the key pillar/determinant of economic Development in
Somalia.

24
2.7 Empirical Literature focusing on the Quality of Education and Economic Development
The following empirical works have found significant positive effect of the outcome of education
measured by the quality on economic growth.

Barbara and John (2000), reviewed some empirical macro econometric literature on productivity
and education, focusing on the UK policy. The study used pooled samples of developing countries
and OECD countries between the period of 1978 and 1998. They used a panel regression analysis,
to investigate the correlation between human capita which is generally measured by formal
education and economic performance. The results obtained showed that there is convincing
evidence that the quality of human capital increases productivity in the economy, and hence leads
to economic growth.

The empirical study by Andrea and Stefano (2001), investigated the causal impact of a qualitative
labor force gotten through education on economic growth in 21 OECD member countries over a
period of 1971 to 1998. The authors made use of a cross-section regression analysis and pooled
cross- section time series regression to determine the long-run relationship between growth and
human capital.

The human capital augmented growth equation was estimated using a consistent econometric
technique (PMG), the average number of formal education of the working age population was used
as a proxy for human capital. The results obtained showed that there is a positive and significant
impact of qualitative human capital accumulation on economic growth.

Lee (2010) examined the importance of education in enhancing economic growth of

75 countries between the periods 1960-2000. The study used conditional dummy and educational
attainment for the age group of 15 and above in the population in 1960.

The results revealed that education helps to accelerate growth in a cross-section of economies once
continental dummies are being controlled for.

Using the Generalized Methods of Moments (GMM), Zhang and Zhuang (2011) examined the
impact of the accumulation of human capital on economic growth in

25
China the results reflects that tertiary education had played a significant role than primary and
secondary levels of education on economic growth. Moreover, the role of the human capital
composition on regional economic growth is very relevant to the level of development. The
provinces that are more developed benefit more from tertiary education, while underdeveloped
provinces depend more on primary and secondary education.

Eric and Ludger (2007) both theoretically and empirically examined the role of education in
promoting economic performance, placing much emphasis on the role of educational quality,
rather than just the school attainment. The study uses a cross-country panel regression analysis
covering 14 OECD countries between a period of 1960 and 2000 and estimate the model by OLS.
The study made use of performance from the PISA international test as a proxy to measure the
quality of education. The results obtained showed that the quality of education, which is measured
base on the knowledge obtained as depicted in tests of cognitive skills, is more important in
achieving economic growth than mere quantity of education.

Eldridge (2011) study the role of the quality of education of the labor market as a driving force for
economic growth in South Africa. The study used a cross- country panel regression technique for
the period between 1965 to 1975, 1975 to 1985 and 1985 to 1995. The result obtained showed that
the level of school attainment as a proxy for educational quality contributes about 0.4% to the
annual GDP in South Africa. The results also showed that the quality of the educational outcome
basically the ability of the school system to impact cognitive skill is a basic determinant of the
performance of the labor, force which in turn enhances economic growth.

Simon and Francis (1998) explained Africa’s achievements over the years in the formation and
accumulation of human capital through education and the impact on economic growth. The study
used a cross- country panel regression of the top 10 leading economies in Africa between periods
of 1960 to 1995. The result obtained shows that the quality of human capital accumulated acquired
through education remains the major factor in accounting for the disparity in growth rate across
countries in Africa. The study considered the complexity of the role of the quality of human capital
in Africa’s growth and development, which is as a result of inadequacy in the investment in
education and health. The study suggested that Africa’s earlier investment in education will
enhance the welfare of the future generation and in turn lead to long-run economic growth.
26
Dowrick (2002) theoretically and empirically reviewed some studies that explained the
relationship between educational quality and economic growth and (research and development)
RD. The authors found out that research and development are sources that enhance economic
performance.

Public expenditure and participation in education has increased drastically during 19th and 20th
centuries, GDP has also increased spuriously within this time period.

The study by Eric (2013) examined the role of the human capital as a drive to economic growth in
developing countries with much emphasis on school attainment.

Over the years there has been this wide gap between developed and developing countries, the
developing countries have tries to cover this gap through level of school attainment. The authors
concluded that developing countries can only improve their economic performance and close the
gap between them and developed countries by improving the school quality, not just school
attainment. The authors highlighted the determinants of skill to include school inputs,
neighborhoods, peers, or general institutional structures which in turn improve the human capital
and lead to improvement in individual productivity as well as economic productivity.

Summery:
In this chapter it discusses the concept of quality of education and economic Development,
theoretical review of the study, the theories that related this study human capital theory.

According to Mankiw (2003), human capital is the skill and knowledge that individuals acquire
through means like education from early childhood, programs such as head start to on- the job
training for adults in the labor force. Human capital raises the ability to produce goods and services
in the economy, human capital is also an important tool in explaining differences in international
standard of living, the empirical literature review is a critical discussion and summary of statistical

Literature that is general and specialized relevant to particular area and topic of the research
problem, it describes how the proposed research is related to previous studies; it shows the

27
originality and relevance of a research problem specifically and justifies the proposed
methodology (Callaghan and Schonborn, 2004). Studies on quality of education have been
conducted in various countries all over the world by different researchers. Various researchers
came out with various findings from their studies.

Research Gap:
After critical analysis of literature related to quality education, most of them explain on education
effectiveness, methods for assessing education quality and few have based their objectives on the
determinants of quality education but looking at students‟ perception. In this study, the researcher
looked at both teacher’s qualification and curriculum and the approaches were qualitative and
quantitative. However, in this study researcher did not find enough study related to quality
education in Somalia.

28
 CHAPTER THREE
METHODOLOGY
3.0 Introduction

This chapter deals with the practical procedures which will use in carrying out this study. It gives
details of the research design to be adopted, population of study, nature of sample, sampling
procedure, data collection procedures and the final data analysis techniques that were applied. It
gives the framework within which data will collect and analyze.

3.1. Research Design

This study will use the descriptive survey research design specifically the descriptive correlation
strategies. Descriptive studies are non-experimental researches that describe the characteristics of
a particular individual, or of a group. It dealt with the relationship between variables, testing of
hypothesis and development of generalizations and use of theories that had universal validity. It
also involves events that have already taken place and could be related to present conditions
Further, descriptive surveys were used to discover causal relationships (descriptive correlation) to
provide precise quantitative description and to observe behavior

3.2. Research Population

The target population of this study was be all FPENs and community members in the one division
of Bosaso District. According to the Bosaso Municipality Business register. (2016)

There are 45 target pupation of the study in Bosaso of these, majority of the respondents are
community members, while the others are FPENs the sample size will be:

3.3. Sample size

In view of the nature of the target population were be the number for FPENs, a sample will take
from each category. Table 1 below shows the respondents of the study with the following
categories target population and sample size. The Slovene’s formula is used to determine the
minimum sample size

29
Where n=the required sample size, N=the known population size and a=the level of
significance at 0.05

𝑵
𝒏 = 𝟏+𝑵(𝒆)𝟐

45
𝑛 = 1+45(0.005)2

45
𝑛 = 1+45(0.0025)

45
𝑛 = 1+(0.1125) = 40.4

=40

Table 3.3.1

Respondents of the Study

NO Category Population Sample size

1 FPENs members 15 12

2 Community Members 30 28

Total 45 40

Sources: primary data 2022

30
3.4 Sampling technique
The study will employee and systematic random sampling techniques.
Systematic random sampling is a type of probability sampling technique [see our
article Probability sampling if you do not know what probability sampling is]. With the systematic
random sample, there is an equal chance (probability) of selecting each unit from within
the population when creating the sample.

3.5. Research Instruments

The research instrument was designed by researcher is questionnaire.

3.5.1 Questionnaire:
The questionnaire will intend to collect data from respondents as questionnaire distributed by the
respondents in a written way. Questionnaire was distributed by the all respondents to contribute
the study. Questionnaire on this study will contain three sections. Section I deals with profile of
respondents with questions like age of the respondent, marital status, educational level, Section II,
the role Islamic bank, Section III deals with economic growth.

3.6 source of data:

3.6.1 Primary Sources

Primary of Research refers to the information that one collects one self. It involves collection of
the data in a given subject directly from the outside world.

Primary research is collected specifically for the research at hand. It obtained by communicating
directly or indirectly with the subject. Carrying out primary research may be developed into
excellent skill that is useful in business personal or academic settings.
3.6.2 Secondary Sources
According to level Ten Design (2006) Describes secondary Research as information gathered
through Literature, publication and other non-human sources. Secondary research is generally
easier to perform than primary research.

31
In this study secondary research focuses on the collection of information relevant to topic. The
work mostly comprised a literature of both published and unpublished documents including Books,
Journals, internet and other material

3.6 Validity and Reliability of the Instrument

3.7.1 Testing the validity of the research instrument
The questionnaire will give to professor and two senior lecturers to judge the validity of questions
according to the objectives. After the assessment of the questionnaire, the necessary adjustments
were made bearing in mind the objectives of the study. Then a content validity index (CVI) was
computed using the following formula,
𝑁𝑜.𝑜𝑓𝑞𝑢𝑒𝑠𝑡𝑖𝑜𝑛𝑠𝑑𝑒𝑐𝑙𝑎𝑟𝑒𝑑𝑣𝑎𝑙𝑖𝑑
CVI =𝑡𝑜𝑡𝑎𝑙𝑁𝑜.𝑜𝑓𝑞𝑢𝑒𝑠𝑡𝑖𝑜𝑛𝑠𝑖𝑛𝑡ℎ𝑒𝑞𝑢𝑒𝑠𝑡𝑖𝑜𝑛𝑛𝑎𝑖𝑟𝑒

A minimum of 0.75 of CVI was also used to test validity.

𝟐𝟒
𝐶𝑉𝐼 = = 𝟎. 𝟖𝟗
𝟐𝟕
According to Amin (2005), if the validity index is 0.70 and above, it means the items are valid.
This therefore implies that a content validity index of 0.92 for this study means that the instruments
were valid.

3.6.2Reliability of the instrument

To ensure the reliability of the instrument, the researcher used the test-retest method.
Here the questionnaire will give to 10 people and after two weeks, the same questionnaire was
given to the same people, these respondents were not included in the actual study. According to
Treece and Treece, 1973, If the test is reliable and the trait being measured is stable, the results
were consistent and essentially the same in both times.

3.8Data Collection Methods & Instruments

The researcher used questionnaire as an instrument of data collection.

32
3.8.1Questionnaire
A questionnaire is a list of questions drafted by the researcher to be fill by the respondent.

This will the basic tool the researcher used in data collection. The questionnaire contained both
close ended and open ended structured questions and the variables therein were measured using
Likert scaling technique. The reason for use of this method was that it minimized bias.

3.8.2 Research Procedure

These are all the procedures to be followed to carry out the study, it involves three processes;
1. Before: in this stage the researcher collects all the data related to the study.

2. During: in this stage the researchers will use questionnaires to collect the information from the
participants.

3. After: this is the final stage the researcher checks and overseas all the procedures of the study.

3.9Data Processing, Presentation and Analysis

3.9.1 Data Processing.

Data processing includes coding and editing all the responses collected from the field which will
edit with the view of checking for completeness and accuracy to ensure that data is accurate and
consistent. . It also helped to remove unwanted responses which would be considered insignificant.
Coding was done after editing which was done manually and by the use of computer through word
processing

3.9.2 Data Presentation and Analysis.

The data present in tabular form, with frequencies and percentages for classifications of responses,
easier analysis and visual impression. The researcher will use Statistical Package for Social
Sciences (SPSS) to analyze after collecting Data from the study area, the variables under study
and the result will present in tables for easy interpretation. Data will be manually entered in a
Statistical Package for Scientific Software (SPSS) version 20.0, Analysis will carry out by use of
frequencies and percentage.
33
3.10 Ethical Consideration
Here are some specific points that the researcher is considering when conducting the study,
these include:
1. Asking the permission to the respondents of the study.

2. Focusing on confidentiality.

3. Asking respondents not to write their names in the questionnaires.

4. Not harming or forcing the respondents to take part of the study.

5. Freedom of response.

34
 CHAPTER FOUR

DATA, ANALYSIS, PRESENTATION AND INTERPERTATION:

4.0 INTRODUCTION:
This chapter presents the results from data collected from the respondents on issues concerning
the role of Educational quality and economic development.

The results are presented using multiple and simple regression and descriptive statistics and
frequency tabulation which were computed and analyzed using the Statistical Package for Social
Scientists (SPSS), where by counts and their corresponding percentages were generated and used
to discuss the findings of the study.

4.1Demographic Characteristics of the Respondents

This section gives detailed information about the composition and nature of respondents by
gender, age, the level of education and position.

Table 4.1.1 The Age of the Respondents:

Frequency Percent
Valid 20-25 years 14 35

26-30 years 3 7

35-40years 6 15

Total 40 100.0
Source of primary data

Interpretation: This above table (4.1.1) shows that the age of the respondents, according to the
(17)43% of the respondents were the age of 20-25, (14)35% of the respondents were the age of
26-30, (3)7% of the respondents were the age of 35-40, (6)15% of the respondents were the age
of 40-45. So that the table shows the age of 20-25 is the most respondents 43% of the population
were answered. This implies that they were mature enough and that they had acquired a lot of
expertise skills owning to the age.

35
Table 4.1.2 The gender of the Respondents:
Frequency Percent
Valid male 27 67
female 13 33
Total 40 100.0

Source of primary data2022

This above table (4.1.2) indicates that almost (27)67% of the respondents answered that were a
male while (13) 33% were female; this clearly show that the majority of respondents in this study
is dominated by male rather than female.
The table shows that both males and females were involved in the study hence ensuring the
representativeness and reliability of the data collected.

Table 4.1.3 Academic Qualification of the Respondents:

Frequency Percent
Valid secondary 4 10
certificate

Diploma 10 25

Bachelor 22 55

Master degree 4 10

Total 40 100.0
Source of primary data2022
Interpretation: the table below (4.1.3) shows that The study examined the level and
qualifications of the research respondents,
this shows that (22)55% of the respondents were bachelor degree holders, (10)25% of the
respondents were diploma holders, (4)10% of the respondents were master degree holders and
36
 (4)10% of the respondents were secondary level. therefore, the majority of the respondents were
bachelor degree hold.

Table 4.1.4 Experience of the Respondent:

Frequency Percent
Valid Less 4 10
than1year
1-2 years 26 65

3-4 years 10 25

Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.1.4) shows that working experience of the respondents.
According to the finding (26)65% of the respondents had being working 1—2 years,

(10)25% of the respondents had being working 3—4 years, (4)10% of the respondents had being
working less than one year.

This depicts that the majority of the respondents were well experienced in the in their capacity
as they are served for 1—2 years.

4.2: level of educational quality:

The in dependent variable of this study educational quality was measured using ten items. All
items of educational quality were measured four point ranging:

1) Agree 2) Strong agree 3) disagree 4) strong disagree.

The respondents were asked to answer Educational quality encourages economic development of
the country.

37
 Table4.2.1 Educational quality encourages economic development of the country:
Frequency Percent
Valid Agree 5 13

Strongly agree 29 72
Disagree 6 15
Total 40 100.0
Source of primary data2022
Interpretation: in this table below (4.2.1) shows that (29)72% of the respondents strong agree
that Educational quality encourages economic development of the country. (6)15% of the
respondents disagree Educational quality encourages economic development of the country
while (5)13% of the respondent’s Educational quality encourages economic development of the
country. This indicates that Educational quality encourages economic development of the
country as the majority of the respondents replied strong agree 72%.

Table4.2.2 the educational quality has made a significant contribution to

the quality of education in the country
Frequency Percent
Valid Agree 18 45

Strongly agree 19 48
Disagree 3 7
Total 40 100.0
Source of primary data2022
Interpretation: in this Table below shows (4.2.2) that (19)48% of the respondents strong agree
that the educational quality has made a significant contribution to the quality of education in the
country, (18)45% of the respondents agree that the educational quality has made a significant
contribution to the quality of education in the country, (3)7% is disagree of the respondents that
the educational quality has made a significant contribution to the quality of education in the

38
 country. The finding points that the educational quality has made a significant contribution to
the quality of education in the country as the majority of the respondents replied strong agree.

Table4.2.3 The school learning materials contribute to the quality of

education:
Frequency Percent
Valid Agree 12 30

Strongly agree 25 62
Disagree 5 8
Total 40 100.0
Interpretation: in this Table below (4.2.3) shows that (25)62% of the respondents Strong agree
that the school learning materials contribute to the quality of education, (12)30% of the
respondents agree that the school learning materials contribute to the quality of education, (3)8%
of the respondents disagree that the school learning materials contribute to the quality of education.

Table4.2.4:Development of Curriculum based skills participates Educational quality

and economic development:
Frequency Percent
Valid Agree 10 25

Strongly agree 28 70
Disagree 2 5
Total 40 100.0
Source of primary data2022
Interpretation: in this Table below (4.2.4) shows that (28)70% of the respondents strong agree
that the Development of Curriculum based skills participates Educational quality and economic
development, (10)25% of the respondents agree that the Development of Curriculum based

39
 skills participate Educational quality and economic development, (2)5% of the respondents
disagree that the Development of Curriculum based skills participates Educational quality and
economic development.

Table 4.2.5 Educational quality improve quality of qualification and enhances

social development:
Frequency Percent
Valid Agree 14 35
Strongly agree 22 55
Disagree 4 10
Total 40 100.0
Source of primary data2022
Interpretation: the table below (4.2.5) shows that collected from the
respondents the most of the respondents are (22)55% are strong agree that the
Educational quality improves quality of qualification and enhances social
development, (14)35% of the respondents are agree that the Educational
quality improves quality of qualification and enhances social development,
while (4)10% of the respondents are that the Educational quality improves
quality of qualification and enhances social development. therefore, as the
majority of the respondent’s points that the Educational quality improves
quality of qualification and enhances social development.

Table 4.2.6 The quality of education depends on the

achievement of the teachers in the school
Frequency Percent
Valid Agree 13 32

Strongly agree 23 57
Disagree 4 11
Total 40 100.0

40
Source of primary data2022
Interpretation: the above table (4.2.6) shows that the (23)57% of the respondents are strong
agree that the quality of education depends on the achievement of the teachers in the school,
(13)32% of the respondents are agree that the quality of education depends on the achievement
of the teachers in the school, while (4)11% of the respondents are disagree that the quality of
education depends on the achievement of the teachers in the school.

Table 4.2.7 The proper school management can

lead to improve educational quality of the society
Frequency Percent
Valid Agree 14 35

Strongly agree 24 65
Disagree 2 5
Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.2.7) shows as the results findings, (24)60% of the respondents
strong agree that the proper school management can lead to improve educational quality of the
society, (14)35% of the respondents agree that the proper school management can lead to
improve educational quality of the society, (2)5% of the respondents that the proper school
management can lead to improve educational quality of the society
Table 4.2.8 The curriculum structure contributes to
the quality of education in the country.
Frequency Percent
Valid Agree 13 33

Strongly agree 22 55
Disagree 5 12
Total 40 100.0

41
Source of primary data2022
Interpretation: the above table (4.2.8) shows that (22)55% of the respondents are strong agree
that the curriculum structure contributes to the quality of education in the country, (13)33% of
the respondents agree that the curriculum structure contributes to the quality of education in the
country, while (5)12% of the respondents that the curriculum structure contributes to the quality
of education in the country. So that as the information from the respondent’s points that the
curriculum structure contributes to the quality of education in the country.
Tablel4.2.9 The value of qualification is reflection
of the quality of education in the country.
Frequency Percent
Valid Agree 13 33

Strongly agree 23 57
Disagree 4 10
Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.2.9) shows that (23)57% of the respondents are strong agree
that the value of qualification is reflection of the quality of education in the country, (13)33% of
the respondents are agree that the value of qualification is reflection of the quality of education in
the country, (4)10% of the respondents, disagree that the value of qualification is reflection of the
quality of education in the country.

Table 4.2.10 The quality of education can lead people and country to
prosperity and development:
Frequency Percent
Valid Agree 13 33
Strongly agree 24 60
Disagree 3 7
Total 40 100.0
Source of primary data2022
42
Interpretation: the above table (4.2.10) shows that (24)60% of the respondents are strong agree
that The quality of education can lead people and country to prosperity and development, (13)33%
of the respondents are agree that The quality of education can lead people and country to prosperity
and development, (3)7% of the respondents are disagree that The quality of education can lead
people and country to prosperity and development. So that as the information from the
respondent’s points that the quality of education can lead people and country to prosperity and
development.
4.3: level of economic development of the country:

The dependent variable of this study economic development was measured using ten items. All
items of educational quality were measured four point ranging:
1) Agree 2) Strong agree 3) disagree 4) strong disagree.

Table 4.3.1 Country’s economic development depends on educational

quality of the country
Frequency Percent
Valid Agree 9 22
Strongly agree 28 70
Disagree 3 8
Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.3.1) shows that (28)70% of the respondents are strong agree
that the Country’s economic development depends on educational quality of the country, (9)22%
of the respondents are agree that the Country’s economic development depends on educational
quality of the country, ((3)8% of the respondents are disagree that the Country’s economic
development depends on educational quality of the country. So that the concept is that the majority
of the respondents believe that the Country’s economic development depends on educational
quality of the country.
Table 4.3.2 Economic development enhance standard of living and life expectance of the
country.

43
 Frequency Percent
Valid Agree 8 20
Strongly agree 29 72
Disagree 3 8
Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.3.2) shows that (29)72% of the respondents are strong agree
that the Economic development enhance standard of living and life expectance of the country,
(8)20% of the respondents are agree that the Economic development enhance standard of living
and life expectance of the country, (3)8% of the respondents are disagree that the Economic
development enhance standard of living and life expectance of the country. The majority of the
respondents accept that the Economic development enhance standard of living and life
expectance of the country.

Table1 4.3.3 The country’s economic development increases country’s gross domestic product
Frequency Percent
Valid Agree 14 35
Strongly agree 23 57
Disagree 3 8
Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.3.3) shows that (23)57% of the respondents are strong agree
that The country’s economic development increases country’s gross domestic product, (14)35%
of the respondents are agree while (3)8% of the respondents are disagree that The country’s
economic development increases country’s gross domestic product.

44
 Table 4.3.4 Economic development provides creation of capital
formation of the country:
Frequency Percent
Valid Agree 13 32
Strongly agree 22 55
Disagree 5 13
Total 40 100.0

Interpretation the above table (4.3.4) shows that (22)55% of the respondents are strong agree
that the Economic development provides creation of capital formation of the country, (13)32%
of the respondents are agree that the Economic development provides creation of capital
formation of the country, (5)13% of the respondents are disagree, that the economic development
provides creation of capital formation of the country.

Table 4.3.5 Economic development of the country reduces the number

illiterate in the society:
Frequency Percent
Valid Agree 13 32

Strongly agree 22 55
Disagree 5 13
Total 40 100.0

Source of primary data2022

Interpretation: the above table (4.3.5) shows that (22)55% of the respondents are strong agree
that the Economic development of the country reduces the number illiterate in the society, (13)32%
of the respondents are agree that the Economic development of the country reduces the number
illiterate in the society, while (5)13% of the respondents are disagree that the Economic
development of the country reduces the number illiterate in the society. So that the majority of the
respondents are accepted that the Economic development of the country reduces the number
illiterate in the society.

45
Table 4.3.6 Economic developments promote Employment Creation of the country
Frequency Percent
Valid Agree 13 32
Strongly agree 24 57
Disagree 3 11
Total 40 100.0

Source of primary data2022

Interpretation: the above table (4.3.5) shows that (23)57% of the respondents are strong agree
that the Economic developments promote Employment Creation of the country, (13)32% of the
respondents are agree that the Economic developments promote Employment Creation of the
country, (4)11% of the respondents are disagree that the Economic developments promote
Employment Creation of the country.

Table 4.3.7 Economic development of the country Increase income per

capital in the country.
Frequency Percent
Valid Agree 12 30
Strongly agree 23 57
Disagree 5 13
Total 40 100.0
Source of primary data 2022
Interpretation:
the above table (4.3.7) shows that (23)57% of the respondents are strong agree that the
Economic development of the country Increase income per capital in the country, (12)30% of
the respondents are agree that the Economic development of the country Increase income per
capital in the country, while (5)13% of the respondents are disagree that the Economic
development of the country Increase income per capital in the country.

46
 Table 4.3.8 Economic development increases spending in public services
of the country
Frequency Percent
Valid Agree 14 35
Strongly agree 21 52
Disagree 5 13
Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.3.8) shows that (21)52% of the respondents are strong agree
that the economic development increases spending in public services of the country, (14)35%
of the respondents are agree that the
economic development increases spending in public services of the country, (5)13% of the
respondents are disagree that the economic development increases spending in public services
of the country. The majority of the respondents are accepted that the economic development
increases spending in public services of the country.

Table 4.3.9 The economic development of the country reduces poverty and hunger in the
country:
Frequency Percent
Valid Agree 8 25
Strongly agree 26 65
Disagree 6 15
Total 40 100.0
Source of primary data2022
Interpretation: the above table (4.3.9) shows that (26)65% of the respondents are strong agree
that The economic development of the country reduces poverty and hunger in the country, (8)22%
of the respondents are agree that The economic development of the country reduces poverty and
hunger in the country, (6)15% of the respondents are disagree The economic development of the
country reduces poverty and hunger in the country.
47
Table 4.3.10 The economic development encourages foreign investment
of the country:
Frequency Percent
Valid Agree 12 30
Strongly agree 26 65
Disagree 2 5
Total 40 100.0

Interpretation: the above table (4.3.10) shows that (26)65% of the respondents are strong agree
that the economic development encourages foreign investment of the country, (12)30% of the
respondents are agree that the economic development encourages foreign investment of the
country, while (2)5% of the respondents are disagree that the economic development encourages
foreign investment of the country. So that the majority of the respondents are accepted that the
economic development encourages foreign investment of the country

48
 CHAPTER FIVE

FINDING, CONCLUSION, AND RECOMMODATION:

5.0 Introduction
This chapter provides the summary of the study, conclusions drawn and recommendations based
on the findings.

Conclusions drawn was be deduced from analysis and objectives set for the research. The area
for further research was also suggested in this chapter. This study focused on the role of
educational quality and economic development in Bosaso, Puntland Somalia the study was
conducted using questionnaire to collect information from various respondents in a students and
Academicians in the community.

5.1 FINDING:
The study established for the role of Educational Quality and Economic development in Bosaso
Puntland Somalia. The study was guided by the objectives:

• What is the level of quality education system in Somalia in term of Qualification

Curriculum, Teaching Methods, and School Management?
• What is the level of Economic Development of Somalia in term of Employment creation,
Literacy rate, Capital Formation?
• Is there a significant relationship between the level of quality education and Economic
Development of Somalia?

The study adapted descriptive survey research design specifically the descriptive correlation
strategies, establish the role of Educational Quality and Economic development in Bosaso
puntland Somalia.

Systematic random sampling is a type of probability sampling technique the researcher was used
systematic random sampling techniques simple random sampling for the respondents

49
 Questionnaires were the instrument of the study. Date was collected from (40) of the respondents
who including managers, students and Academicians.

The date was analyzed using the statistical package for social sciences (SPSS) version 20.0.
Descriptive statistics (frequencies and percentage) was used for open ended question.

Qualitative date was analyzed using content analyzed. responses were grouped into common
themes and analyzed as guided by researcher’s objectives.

5.1.1: Quality of educations:

Educational quality encourages economic development of the country was first objective which
guided the researcher in the study.

From the findings of the study (72%) of the respondents noted that the Educational quality
encourages economic development of the country.

The majority of the respondents (48%) that the educational quality has made a significant
contribution to the quality of education in the country.

From the findings of the study (62%) of the respondents noted that the school learning materials
contribute to the quality of education.

This study find that the Development of Curriculum based skills participates Educational quality
and economic development (70%) strong agree and (25%) agree with responses.

From the findings of the study (55%) of the respondents noted that the Educational quality
improve quality of qualification and enhances social development.

From the find (57%) strong agree and (32%) agree that that the quality of education depends on
the achievement of the teachers in the school. We find from that quality of the education depend
on commitment of the teachers. The majority of the respondents (60%) that the proper school
management can lead to improve educational quality of the society. This study finds that the
curriculum structure contributes to the quality of education in the country (55%) strong agree
and (33%) agree with responses.

50
 From the findings of the study (57%) of the respondents noted that that the value of qualification
is reflection of the quality of education in the country. The respondents were requested to answer
that he quality of education can lead people and country to prosperity and development; the
majority of the respondents (60%) were accepted.
5.1.2: Economic development:
The economic development was the second objective which guided the researcher in the study.

From findings of the study (70%) of the respondent noted that the Country’s economic
development depends on educational quality of the country.

The research finds that the economic development enhances standard of living and life
expectance of the country, the majority of the respondents cleared answered (72%) strong agree
and (20%) agree, it clear that the economic development promote standard of living. from the
finds of the study it was noted that the economic development increases spending in public
services of the country so that the majority of the respondent are accepted.

The study also finds that the economic development promote Employment Creation of the
country, the majority of the respondents cleared answered cleared answered (57%) strong agree
and (32%) agree that the economic development promote Employment Creation. From the find
of study (65%) strong agree and (20%) agree that the economic development of the country
reduces poverty and hunger in the country.

5.2: CONCLUSION:
This study was motivated by doubts that have been raised about the role
of education and human capital in economic development. These doubts
come from a variety of vantage points ranging from whether the research
has correctly identified the impact of education quality to whether other
institutional aspects of countries might be more important. They also
encompass concerns about whether or not we really know how to change
educational outcomes, particularly in developing countries.

51
 Education is indispensable to economic development. No economic
development is possible without good education. A balanced education
system promotes not only economic development, but productivity, and
generates individual income per capita. Its influence is noticeable at the
micro level of an individual family.

In view of these findings, the following conclusions were made;

The economic development depends on educational quality of the country. Due to this point
educational quality in Puntland and quality of education depends on effective in administering
its duties and responsibilities especially in areas where reach is difficult. It is clear that this is
due to the lack of enough capacity considering the fact that the transitional government is yet to
stabilize and receive nationwide acceptance and dominance.

On the other side access to quality education by the people of Puntland Somalia has been majorly
aspects to encourage economic development and it clear that the economic development
promotes standard of living. it was noted that the economic development increases spending
in public services of the country.

Economic development was found to be well related to access to education through the various
constructs that were freely interacting with the independent constructs to cause a positive influence
on quality of education. It is therefore valid to conclude that the reason as to why quality education
to education was low was because of the ineffective government intervention to improve the
popularity of education in such regions. Even important to understand how the quality debate has
evolved over the years and how it has come to be linked with the provision of education,

There is no relevance curriculum that meets aspiration for further education and thereafter
expectations for good employment opportunities are parents‟ attractions for their children’s
schooling.

5.3: RECOMMENDATION:
From the result of study, the following recommendation are made:
Educational quality:
52
 1. School district should provide high-quality curricular physical education during
study which students should spend at least half of the class time engaged in vigorous-or
moderate intensity physical activity.
2. The ministry of education should enhance training that can improve the skills of
the beneficiaries such technical vocational trainings.
3. In the education system should not be made as commercial and profitable purpose
only.
4. To enhance the practical knowledge of the students during the studies.
5. The government should improve the quality of education in the country.
6. Additional opportunities for physical activity before and after school’s hours,
including but not limited to active transport, before and after school programming, and
intramural and extramural sports, should be made accessible to all students
Economic development:
1. Government should have a role of education in social development and the
government should fund to the education institution like school, colleges, and university
and support to the society.
2. Universities should introduce entrepreneurship education for people who want to
be entrepreneurs.
3. Finally, government and banks should make investment in the country.

SUGGESTION FOR FUTHER STUDIES:

Based on the findings the following suggestions are made for further studies:

1. Improving educational system and welfare of communities

2. Role of educational investment towards application of economics to development

countries.
3. Measuring the contribution of education to economic growth.
4. Benefits of government spending on education and economic development.

53
 REFERENCE:

Benhabib, Jess, and Mark M. Spiegel. 1994. "The role of human capital in economic development:
Evidence from aggregate cross-country data." Journal of Monetary Economics 34, no. 2:143174.

Benhabib, Jess, and Mark M. Spiegel. 1994. "The role of human capital in economic development:
Evidence from aggregate cross-country data." Journal of Monetary Economics 34, no. 2:143- 174.

Benhabib, Jess, and Mark M. Spiegel. 1994. "The role of human capital in economic development:
Evidence from aggregate cross-country data." Journal of Monetary Economics 34, no. 2:143174.

Benhabib, Jess, and Mark M. Spiegel. 2005. "Human capital and technology diffusion." In
Handbook of Economic Growth, edited by Philippe Aghion and Steven N. Durlauf. Amsterdam:
North Holland:935-966.

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 APPENDEX QUESTIONNAIRE

Iam Huud Ali Mohamed one of the students in Red sea university, faculty of economic and
management science Department of economics as bachelor degree iam currently carrying out
research on the Role of educational quality and economic development in Bosaaso- Puntland
Somalia you have been selected one of the respondents in the study entitled.

The purpose of this questionnaire is to solicit your views on the above topic, you are kindly
requested to assist in answering the questions below, the information was being used for
academic purpose only and will be treated with strict confidentiality.

SECTION A: DEMOGRAPHIC INFORMATION OF RESPONDENTS:

A.1: AGE:

1. 20—25 years ( ) 3. 26---30 years ( )

2. 35—40 years ( ) 4. Above 40 years ( )
A2: GENDER:

1: Male ( ) 2: Female ( )

A3: EDUCATIONAL QUALIFICATION:

What is your level off education?

1. Secondary certificate ( ) 2. Diploma ( )

3: Bachelor ( ) 4: Master degree ( )

A.4: WORK EXPERIENCE:

1. Less than a year ( ) 2. 1---2 years ( )

3: 3----4 years ( ) 3. 5---6 years ( )

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SECTION B. EDUCATIONAL QUALITY:

N0 Statement

1. Educational quality encourages economic

development of the country.
2. The educational quality has made a significant
contribution to the quality of education in the country

3. The school learning materials contribute to the quality

of education
4. Development of Curriculum based skills participates
Educational quality and economic development.

5. Educational quality improve quality of qualification

and enhances social development
6. The quality of education depends on the achievement
of the teachers in the school
7. The proper school management can lead to improve
educational quality of the society
8. The curriculum structure contributes to the quality of
education in the country
9. The value of qualification is reflection of the quality
of education in the country
10. The quality of education can lead people and country
to prosperity and development

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 SECTION C. ECONOMIC DEVELOPMENT:

 (Give an appropriate answer) put a tick where is applicable

N0 Statement

1. Country’s economic development depends on

educational quality of the country.
2. Economic development enhance standard of living
and life expectance of the country
3. The country’s economic development increases
country’s gross domestic product

4. Economic development provides creation of capital

formation of the country
5. Economic development of the country reduces the
number illiterate in the society
6. Economic development promote Employment
Creation of the country
7. Economic development of the country Increase
income per capital in the country
8. Economic development increases spending in public
services of the country
9. The economic development of the country reduces
poverty and hunger in the country
10. The economic development encourages foreign
investment of the country

THANK YOU VERY MUCH.

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