International Journal For Multidisciplinary Research

E-ISSN: 2582-2160   •   Impact Factor: 9.24

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Volume 8 Issue 2
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Is the Education Expenditure Consistent with the Changing Demography in India?

Author(s) Ms. HARSHA SHARMA
Country India
Abstract This review paper studies the status of expenditure on education at the state level and its effect on the broader challenge of translating educational investments into productive employment by using the data published by the RBI named India’s State Finances: A Study of Budgets 2025–26 as well as the report by AISHE 2021–22. The states in north eastern and the Himalayan region were characterized by younger populations and relatively smaller economies but were found to allocate a higher share of their GSDP to education. In contrast to the larger southern and western states that are now scourged with an ageing population and strengthened by a higher absolute GSDP dedicated a relatively lower percentage towards education. States like UP and Bihar reflected a higher youth bulge and face the intense pressure to expand access, resulting in massive graduate output, while better efficiency results could be seen in the southern states by producing more graduates per university despite a lower relative spending. The increasing old age dependency in these states will strain the investments by 2036. This review paper underlines the risk that India’s changing demography might turn into a liability if we are unable to create employment by keeping pace with the expanding pool of educated youth at the same time calling for a region-specific policy intervention that addresses quality and employability.
Keywords Education, Expenditure, Demography, State Finances, Youth, Unemployment
Field Sociology > Education
Published In Volume 8, Issue 2, March-April 2026
Published On 2026-04-08
DOI https://doi.org/10.36948/ijfmr.2026.v08i02.73581
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