Roy Martin

Federal Research Officer

Chart 1 shows that expenditure on schools as a per cent of GDP was at 3.6% in 1983/84, and had been at around this level since 1978/79.

Chart 1.

(Source: Education and Training in Australia, and National Accounts, ABS, various years)

The effect of this in lost revenue is shown in Table 1.

Table 1

In 1995/96, Australia spent 2.7 % of GDP, or $13891, on schools from a GDP of $514488 m (1996/97 base). Had it spent 3.6%, as it has done in the earlier period, schools would have received $18 522 m, or $4 630 m ($4.6 bn) more.