To successfully conduct business we all need labor force. More precisely we need highly educated labor force. But is this actually true? Well it might not be.
The general conception is that the higher the education the higher the productivity and effectiveness. As a concept it applies perfectly, but in real life world economy would crumble if there were no more uneducated, cheap labor. Like it or not most economies is based on cheap uneducated labor and low salaries. Today it is almost a must to obtain higher education and it actually does not matter in what sphere. Apparently all you need is a paper that states that you have ‘’obtained’’ a higher education. Somehow we seem to have forgotten about professional education and mostly concentrate on academic education. While on one hand it may be a good thing as we increase overall knowledge level, but on the other hand now we have an overproduction of marketing and communication specialists. Do not misunderstand, I do not want a world of illiteracy, I just think we have to remember that there is a technical side of higher education.
Education is somewhat bad news for business people. The more educated the more demanding the people become, meaning that demand for higher salary will increase. Yes currently the labor force of Asia is the preferred labor market for western manufacturers, but as the overall education level of Asia is rising so will the salary requirements. Sooner or later the labor costs in Asia will reach the general level of other advanced countries. Where will the manufacturers turn their sights? Africa, Central America or maybe they will choose a more science fiction approach – AI and robots. I am not ready to predict that. We will just have to wait and see what the future holds.
