Exploring Economic Drivers of Literacy: Advancing Equitable Education for Marginalized Communities in Pakistan

Abstract

This research investigates the influence of economic factors on literacy rates in Pakistan, focusing on GDP per capita, government expenditure on education (as percentages of GDP and total government expenditure), and employment rate from 2000 to 2023. The results show that government expenditure on education as a percentage of total expenditure greatly affects literacy rates, though unexpectedly negatively, while GDP per capita and employment rate show non-significant relationships. The research emphasizes the necessity for policy reforms aimed at equitable resource allocation, particularly in marginalized communities, to enhance literacy and educational access. Recommendations include incorporating financial literacy and qualitative research to better address barriers to inclusive education.