The Role of education on the industrial sector in Zimbabwe (1990-2022)

Author

Munyaradzi, Sarai.

Title

The Role of education on the industrial sector in Zimbabwe (1990-2022)

Abstract

The research sought to analyze the relationship between the roles of education on the industrial sector in Zimbabwe. The research problem is to determine if education actually enhance industrial sector, given the limited empirical evidence on the subject. The OLS econometric model was used as the main model of analysis estimated using E-views 10 software, and a series of diagnostic and stability tastes were conducted to ensure model robustness. The sample consists of time series data from the World Data Bank from 1990-2022. The study findings show that investment negatively affects the industrial sector in Zimbabwe at a 1% level possibly due to lack of infrastructure and political instability in Zimbabwe. Furthermore education, government size and capacity utilization positively affect industrial sector and are significant at 5% significant level. The CUSUM test confirms 95% confidence in the model’s stability for forecasting. The study recommends that policy makers should implement policies aimed to improve education in Zimbabwe such as aligning education curriculum with the industrial needs. Additionally, policy makers should consider promote innovation, and technological advancement to drive industrial growth, and establish a mechanism to improve access to finance for industrial enterprises, especially small and medium enterprises. This can include setting up dedicated industrial funds, providing loan guarantees, and promoting innovative financing options tailored to the needs of the industrial business.

Date

June 2024

Publisher

BUSE

Keywords

Economic growth

Inflation

Education

Supervisor

N/A