Education and Inequality

This chapter delves into the complex relationship between education and inequality, distinguishing between traditional and contemporary approaches in economic theory, while taking into account that we are dealing with an interdisciplinary subject. Firstly, it explores the traditional approach focusing on the lines of research pursued by the economics of education and the economics of human capital. Subsequently, the attention is shifted on how the two distinct fields of research are evolved in recent times. Afterwards, on the basis of this theoretical background, some of the most relevant contemporary issues concerning education potential and disparities are discussed. Five main issues are explored in which education can play a key role in strategies for reducing inequality in the twentieth century while undergoing a deep structural transformation: effectiveness of education as a tool to reduce inequalities and its different impact in different domains; relationship between education, underemployment and skill mismatch; differential impact of education on inequality within and between countries; relationship between democracy, education and equality; impact on inequality of the deep structural transformation which is taking place in education at the global level. This chapter adopts a broad perspective, and it analyses historical trends and persistent gaps in educational access and quality worldwide. Blending these issues, it aims to deepen our understanding of education’s role in promoting equity and democratic principles globally. It underscores the importance of leveraging technological advancements for quality education while acknowledging the complexities involved. Overall, it advocates for a comprehensive interdisciplinary approach to address educational disparities as a crucial component of multidimensional inequality and to foster equality in modern societies.