Choice of Post Graduation Courses: An Economic Analysis

The increasing skill gap is the testimony of India's inability to take full advantage of its ‘demographic dividend’. For development, it is important that the skills of individuals must be in tune with the nation's needs. Influencing the student's to opt for subjects according to national needs requires an understanding of how the subject choices are made. The research paper provides an insight about the economic aspects of the students’ decision making process. Data was collected through questionnaires, using stratified random sampling technique, from 100 first year Post Graduation students of Punjabi University, Patiala, Punjab. Techniques like chi-square testing and Likert scale were used to analyse data. The study revealed that more than Mothers’, it is the education level and job profile of a Father which influences a child's access to Higher Education. Children of better educated and professionally employed parents are more likely to opt for Professional and Science Courses. Students from high Income families and those who attended schools where medium of instruction was not English were more likely to opt for Social Sciences. The Sampled students suffered from some cognitive biases while making the course choices. Changing socioeconomic status and occupational patterns have serious implications for academic institutions. Providing enticements is the most feasible method to nudge students to opt for courses which cater to a nation's requirements. Sufficient flexibility for future choice of subjects and awareness about the future implications of course choice will be vital for mitigating the effects of cognitive biases.