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Unit 17: Globalization and Privatization in Teacher Education
Privatization is management by private sector with total absence of government intervention. Notes
Such institutions generate their own funds through higher fees, user charges and full use of
resources. They survive on the philosophy that they do not have to pay for those who can pay.
Privatization of higher education has emerged in several forms and types in the recent decade in
India.
1. Privatization within government higher education institutions takes place in the form of
introducing self-financing courses within government institutions.
2. Converting government aided private institution in to private self financing institution.
3. Allowing to expand self financing private institution with recognition and also without
recognition, which may be termed as commercial private higher education institutions.
17.6 Factors Responsible for Privatization of Teacher Education
Education (Need for Privatization):
1. Need for competitive efficiency: Main justification for privatization rests heavily on the
grounds of efficiency to promote a more competitive economic environment. Operation of
public sector enterprises is considered inefficient. It is believed that private ownership and
control are more efficient in terms of resource allocation and work.
2. Growth in population: India has a population of nearly one hundred and seven cores.In
order to provide to a large number of people more private institutions are needed. To
fulfill the demand for higher education of young people in the country privatization of
higher education is needed.
3. Financial burden on government: Higher education in India is in financial stress. The state/
government can no longer bear the financial burden of public enterprises. Current spending
on education in India is not more than 3.5% of GDP. The center itself concedes that the
minimum should be 6%. Very little is being spent on higher education. This compares
unfavorably with the international level, especially when compared with countries such as
South Africa, which invests eight per cent of GNP on education. Therefore there is a need to
evolve policy through which private resources are mobilized.
4. Education is an Economic good: Education is no more being as a social service but as a
necessary economic input. Investment in education is treated as a factor contributing to the
development of human resources. In this effort private initiative can help since the private
sector is the beneficiary of the knowledge industry.
5. Quest for Quality: Private institutions do not require long procedures for procurement of
human as well as material resources. In order to purchase and maintain good qualitative
infrastructure and equipment like furniture, buildings, different types of laboratories and
qualified and competent academic staff, who can be paid as per the demand, there is a need
for privatization.
6. Rapid growth of school education: Growing number of schools naturally pushed the demand
higher education which the government is not able to provide, therefore demand for
privatization of higher education is the need of the hour.
7. Fulfilling the need for skilled manpower: There is very little initiative from the public
sector due to limited freedom. Private institutions are free to initiate modern and advanced
courses in order to fulfill the demand for subjects which facilitate economic development of
the nation. The demands of the market and the times can be fulfilled. For this privatization
is needed.
8. Curtailment of corruption: In order to control the corruption in the government sector,
private sector is much needed. Privatization stops the corruption to some extent and brings
about some discipline. As a result there will be capacity utilization.
9. Desire for more autonomy: Privatization of higher education will provide autonomy to
institutions and there will be less dependency on the government. This will remove political
interference in areas of administration, management and finance.
LOVELY PROFESSIONAL UNIVERSITY 159