South Korea's Economy
Education Fever
How South Korea's obsession with education built a skilled workforce, and the costs of intense competition, private tutoring and exam pressure.
South Korea is famous for its education fever.
Building human capital
- Korea rapidly expanded primary, then secondary, then university education.
- Today, a very high share of young Koreans, around 70 percent of 25-34 year-olds, have tertiary education, among the highest in the world.
- Korean students score highly in international tests like PISA.
Economic benefits
- Skilled workers for high-tech industries.
- Engineers for electronics, cars and shipbuilding.
The costs
- Hagwons: private cram schools where students study late into the night. Families spend a large share of income on private education.
- Suneung: the national college entrance exam is so important that flights are rerouted to avoid noise during the listening test.
- Stress and mental health problems among students.
- Over-education: many graduates compete for few prestigious jobs.
Link to low fertility
The high cost of raising and educating children is cited as a reason Koreans have fewer children.
The hagwon night
A Seoul high school student attends regular school, then studies at a hagwon until 10 pm, preparing for the Suneung exam that will shape her future.
Thinking more education spending always brings more benefits
Beyond a point, intense competition brings stress and costs.
Key takeaways
- Korea rapidly expanded education at all levels.
- About 70 percent of young adults have tertiary education.
- Hagwons and the Suneung create intense pressure.
- High education costs are linked to low fertility.
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