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Research points to several determinants of the private demand for higher education, which include individual, social, economic, and institutional variables. Of these variables, economic factors are considered to be highly relevant, especially in the current financial crisis. The paper investigates the link between expected rates of return to higher education and the intention of secondary education graduates to pursue university studies. The effect of additional variables influencing the choice of higher education (ability, gender, socioeconomic status [SES], type of secondary school, area of residence) is also examined. The findings show a significant link between the perceived rates of return and the intention of secondary school graduates to enter tertiary education. With the exception of residence, all independent variables are strong determinants of the intention to enter higher education. The paper also points to the considerable effect of the financial crisis on students' expectations in that respondents reported lower perceived rates of return compared to previous estimates in the same country. The implications of the findings for higher education policy are discussed.

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The paper investigates the views of Greek university graduates on the link between higher education and productivity in order to determine the extent to which productivity can be considered to be an indication of quality in higher education. It also investigates the perceived effect of the type and content of higher education on productivity; factors limiting the positive impact of higher education on productivity; and ways of reducing the influence of these factors. In-depth interviews were conducted with 40 employed university graduates in Greece. Respondents generally considered higher education to have a productivity-enhancing effect, in disagreement with the screening challenge to the human capital interpretation of the link between education and productivity. The findings also suggest that respondents embraced specific conceptualisations of quality in higher education.

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This article investigates the views of the students of the University of Cyprus concerning the aims and character of the university, in general, and the Department of Education, in particular. Moreover, it examines the extent to which the students’ preparation for the labour market is considered satisfactory. Data were collected from 135 students of the Education Department of the University of Cyprus through both fixed-alternative and open-ended questions. According to the findings, respondents appear to reject a purely instrumental or vocational approach to the formulation of higher education aims. At the same time, they believe that both their university and their department exhibit a vocational orientation in the provision of skills and knowledge to their students. Respondents consider the professional preparation they receive at the university and the department to be satisfactory even though they point out several areas for improvement. The article suggests that universities ought to address the students’ desire for personal development in the context of the humanistic mission of higher education. It also points to the need for improvements in the students’ professional training.

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The paper investigates the views of employers and stakeholders in Cyprus regarding the effect of training on productivity in their organisation. Qualitative research was used to collect information from 26 individuals who represented different types of employers (public sector institutions, semi-government institutions, small and large private organisations) and key stakeholders. Respondents discussed the different methods of training used in their organisation and the criteria used in selecting employees for training. In general, training was considered to have a positive effect on productivity by enhancing the skills and competencies of employees. However, very few organisations used quantitative methods in order to evaluate the effectiveness of training and measure its impact on productivity. Participants identified the problems which prevent training from having a positive impact on productivity.

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The article examines the role of career counsellors in secondary education in Cyprus, with emphasis on their effect on students' career decisions. Survey research was used to collect information from 611 students and 36 career counsellors in Cyprus. Students were asked to rate the importance of several factors as influences on their career decisions. This allowed for the assessment of the importance of career counsellors relative to other influencing factors. In a separate survey, career counsellors provided information on their job satisfaction and their effectiveness in providing guidance and information to students. Both quantitative and qualitative data were collected. According to the findings, students consider counsellors to be of little or no importance as sources of guidance and information in the decision-making process which precedes the choice between higher education and employment. Moreover, counsellors point to serious problems at the workplace which limit their effectiveness. The article discusses ways of addressing the problems faced by career counsellors and enhancing their role as significant reference individuals in further education and career decisions.

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The paper investigates the economic benefits and costs of higher education as these are perceived by higher education candidates and labour market entrants in Cyprus. It provides further evidence on the topic after a similar study which preceded the present project by 10 years. Perceived rates of return to education are presented for two points in time, namely, 1993 and 2003. The findings point to an increasing awareness of the link between education and earnings on the part of young people, which can be linked to the country’s economic development. The main influences on the respondents’ expected lifetime earnings are examined through multiple regression analysis. Gender and ability are found to be significantly related to expected earnings.

Published abstract reprinted from ‘International journal of educational development’, copyright 2008, with permission from Elsevier. Show less

Purpose: The purpose of this paper is to investigate the problems faced by unemployed and underemployed graduate students in a small European country. It focusses on the way young people adjust to unemployment and underemployment and on the specific strategies they use to enhance their employability. Various aspects of these strategies as they relate to student decision making and analysis are discussed. The role of new skills and competencies in managing graduate unemployment is examined. Design/methodology/approach: Qualitative research was conducted with 15 graduate students of the Education Department of the University of Cyprus. In-depth interviews and focus-group interviews were used to collect data.

Findings: The results indicate that the main strategy used by respondents in order to enhance their prospects of employment is the acquisition of additional skills and competencies. A secondary strategy is the pursuit of employment opportunities abroad. Student decisions and perspectives appear to be optimistic, partially rational, placed within a short-term horizon and influenced by the belief in the investment value of education. Research limitations/implications: The findings are qualitative and cannot be considered to be representative of the population. However, they allow an in-depth analysis of the way a group of students experiences and manages unemployment and underemployment. Originality/value: The way young people deal with unemployment and underemployment has not been investigated in many studies, especially in relation to the degree to which graduates formulate specific strategies in order to manage the transition from the university to the world of work. Students' and graduates' perceptions regarding the association between skills and employment can provide the basis for more informed planning and policy making in higher education.

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The employability of university graduates constitutes a major policy concern in both developed and developing nations. In this context, the present study uses self-reported data to compare the earnings and employment expectations of university students, and the realised earnings and employment paths of recent graduates. The sample consisted of 476 individuals (243 students and 233 graduates of the University of Cyprus). The analysis points to both differences and similarities in the effect of different variables on (a) the probability of employment for graduates and the probability of expected employment for students, and (b) the conditional salary of graduates and the conditional expected salary of students. The completion of postgraduate studies, the area of family residence and the department of study are the key factors affecting the graduates' employment probability, while the students' probability of expected employment is determined differently, namely by characteristics such as secondary education performance and studies in the business administration department. Gender and family income are among the main determinants of both the graduates' actual earnings and the students' expected earnings, with women earning or expecting to earn less than men, and graduates/students with higher family incomes earning or anticipating to earn more than their lower income counterparts. The findings are compared to those of similar studies in other countries.

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