The Determinants of Public Education Expenditures: An Empirical Analysis of Changing Patterns and Growth of Public Expenditure on Education in Kenya

Abstract

This paper examined several factors that affect growth of public expenditure on education sector using reputable theories of public policy analysis, economics, and public finance. These theories were used to test and examine these factors mainly for the purposes of providing public policy recommendations. Standard multiple linear regression analysis method was used to analyze factors affecting growth of public expenditure on education using the four formulated models and equations representing; general education sector, primary, secondary and university education. The results in general showed that majority of the factors tested were positively significant and caused an increase of public expenditure on education. The paper found noticeably increase in public expenditure on education sector in Kenya since 1980 from the results, but still the actual amount of money spend on education sector is less than what is required. Therefore, the government should not only increase financial allocation but should also find reliable sources of funding education sector. In addition, the government should carry out reviews in all schools syllabuses in order to meet current changing jobs demands and maintaining quality education.

Revisiting Long-Run Dynamics of the Determinants of Public Education Expenditure in Malaysia

“…The result from this study further reported that inflation rate (INF) was positively significant to the government education spending. Our result was consistent with Imana (2017) that demonstrated inflation rate with a positive effect on public education expenditure. High inflation rate causes prices hike of commodities and services, thus making parents unable to afford tertiary education fees and other education costs.…”

The Determinants of Public Education Expenditure in Malaysia

“…On the other hand, the result reported that inflation rate (INF) was positively significant in the long run. Our result supported finding by Imana (2017) that inflation rate had a positive effect on education expenditure. High inflation rate causes prices hike of commodities and services, thus making parents unable to afford high school fees and other education costs.…”

Fiscal Asymmetric Decentralization Conundrum: Influence of County Cash Management on Household Effects in Kenya

“…The government of Kenya has devolved treasury management to county governments in tandem with the theory of fiscal federalism which advocates for regional governments which are closer to the citizens. The government has made several reforms including the public finance management reforms as enablers of the devolved treasury management towards implementation of the Constitution of Kenya 2010 which introduced the 47 County governments and the National government in Kenya (Imana, 2017). Roberts (2013), assert that generally treasury management was concentrated on Working Capital management which became more evident during the 1992/93 World Financial crisis.…”