Introduction
In recent decades, higher education has become a crucial factor for sustained economic growth and social mobility. Recent empirical evidence demonstrates that investing in the university education of new generations not only boosts productivity but also expands young people’s opportunities to access formal, well-paying jobs.
The Importance of Higher Education in Mexico
In a country like Mexico, where there is still a significant gap between real wages and the economy’s growth, this aspect becomes fundamental.
Recent Studies on Higher Education and Economic Growth
Two recent studies help quantify this relationship. The first, by Escamilla-Mejía, Alfaro-Ponce, Aali-Bujari, and Hernández-Veleros (2025), analyzed 24 OECD countries between 2000 and 2019. The results show that women with higher education contribute more to GDP per capita growth than men, especially in middle- or low-income countries. Moreover, young adults aged 25 to 34 with tertiary education are the group that most drives economic growth.
However, older adults tend to have decreasing returns, highlighting the need for continuous professional skills updates.
The study concludes that the impact of higher education depends on each country’s structural conditions. Where public policies strengthen equity, quality, and relevance in university training, the effects on economic growth and productivity are more sustained and significant.
Mexico’s Case Study
The second study, by Rodríguez Galván and Islas Aguirre (2025), analyzed Mexico’s situation between 2010 and 2024 using ENOE data. The authors found that the labor participation of individuals with university degrees increased by 46.3% during this period, though accompanied by growing gender and sectoral wage disparities, particularly in the technology sector.
Engineering, manufacturing, and administration are the careers with the highest economic return, while arts, humanities, and services lag behind.
The study also warns that the concentration of skilled employment in urban areas partially limits the redistributive effects of higher education. However, this is a clear result of urban concentration patterns and economic activity in a country like Mexico.
An additional challenge, according to the authors, is connecting academic offerings with digital economy and new industries’ demands.
The Growth of Private Higher Education in Latin America
Another phenomenon in Latin America is the sustained growth of private higher education, which now represents more than 50% of university enrollment in several countries. In Mexico, this proportion remains below 40%.
This process responds to unmet demand for public education (resulting from the end of a demographic expansion process a few decades ago), insufficient state funding, and the expansion of policies that facilitated the opening of new private institutions.
Although this growth poses challenges in terms of equity and quality, it has also had positive effects for young people. Private education has allowed for expanded coverage, diversified program offerings, and more flexible models adapted to labor market needs. In some cases, these institutions have promoted greater technological innovation that strengthens ties with the productive sector, especially in high-demand areas like information technologies, healthcare, and engineering.
Key Questions and Answers
- What do recent studies show about higher education’s impact on economic growth? Women with higher education contribute more to GDP per capita growth than men, especially in middle- or low-income countries. Young adults aged 25 to 34 with tertiary education are the group that most drives economic growth.
- What wage disparities have been observed in Mexico’s labor market? There are growing gender and sectoral wage disparities, particularly in the technology sector. Engineering, manufacturing, and administration are high-return careers, while arts, humanities, and services lag behind.
- How does the concentration of skilled employment in urban areas affect higher education’s redistributive effects? The concentration of skilled employment in urban areas partially limits the redistributive effects of higher education, but this is primarily due to urbanization patterns and economic activity in Mexico.
- What challenges does private higher education growth present in Latin America? Although it poses challenges in terms of equity and quality, private higher education growth has positively impacted young people by expanding coverage, diversifying program offerings, and promoting technological innovation.
