Unleashing Student Triumph: Unraveling the Dynamic Link Between State Funding, Academic Excellence, and Financial Prosperity in the Digital Era

This research intended to investigate and reveal the links through direct and indirect effects between factors such as state funding (SF), academic excellence (AE), and financial prosperity (FP) in the digital era. The data were collected from 963 Kosovar students and their processing was done through exploratory factorial and confirmatory factorial analyses using SPSS and AMOS programs. The results revealed links through direct and indirect effects between the factors (SF, AE, and FP) in the digital age. SF exhibits direct positive effects on AE (r = 0.81), AE significantly effects FP (r = 0.88), and SF also indirectly effects FP (r = 0.11). Notably, SF significantly effects students’ income, expenditures, and financial prosperity. Increased SF leads to better educational resources for students, affecting their capacity to afford tuition fees and related expenses (FP). Conversely, inadequate state funding detrimentally affects students’ academic outcomes and hampers the implementation of beneficial educational initiatives, thus exerting a negative influence on academic excellence (AE). It is recommended the need for government policies and strategies that increase state funding for education to improve academic excellence with new programs and qualified staff, and the financial prosperity of students. Future studies should focus on other countries and variables to better understand their impact and develop other effective policies for promoting education in the digital age.