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Societal and global advancement increasingly depends upon research, invention, innovation and adaptation; all of these are products of educated mind. Education is public good in LDCs and need Government involvement to function effectively. National Education Policies of India in 1968, 1986 and 1992 (revised) have recommended 6% of GDP to spend on education which unfortunately was on an average 3.77% in last one and half decade. This insufficient funding can be considered as one of the factors for India’s low ranking in terms of Human Development Index. Descriptive and analytical methods are used to study the relationship between Public Education expenditure and Human Resource Development of India by using the secondary data collected through the reliable sources like Ministry of human resource development and Human Development reports published by UNDP. To analyse the relationship between spending by the Government on education and improvement in quality of Human resource, Granger Causality Test is applied. The results of the study show the influence of Public education expenditure on Human Resource Development in India.
Patel et al. (Fri,) studied this question.
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