الفهرس 
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Abstract
1. Introduction
Increasing the productivity of factors of production has a positive impact on the levels of production and incomes. On one hand, highly productive factors of production can increase the efficiency of allocating and using the available resources; on the other hand, there is a direct relationship between the productivity of factors of production and their returns (Saleem et al., 2019). For any economy, the development of the labor factor is a critical challenge in achieving economic development, where the returns of developing the labor factor are not limited to supporting the quality and quantity of domestic production but extend to achieving a suitable degree of equity in the distribution of income and alleviating poverty, as the return on labor factor is a basic source of income for the middle class and the only source of income for the poor classes (Helmy, 2014).
Despite there are several factors that determine the efficiency of human resources, such as experience, intelligence, awareness, and general culture (Frank & Bernanke, 2007); however, investing in humans is crucial in turning human resources into effective human capital, especially for countries with huge populations such as Egypt, China, and India. The formation of human capital is based on two main pillars, physical and mental abilities; thus, the form and amount of spending on education and healthcare programs determine the effectiveness of human capital in any economy (Goldin, 2016).
The level of education is one of the factors that determine the level of physical aggregate output in the economy and the main factor that determine the level of innovation and the technological content in domestic production, where well-educated labor resources provide the economy with entrepreneurial projects, efficient managerial techniques, and enable for utilizing technological advancements (Rehman et al., 2015).
Accordingly, improved education enables structural transformation in the economy, where the economy moves from primitive productive sectors to more advanced ones (Baah-Boateng, 2013).
2. Study Importance
Investing in education is expected to bear fruit on both the private and public levels. On the private level, education is expected to improve the productivity of the labor factor and thus secure greater returns for workers; moreover, education may facilitate access to better jobs and working environments (Afzal, 2011; Blundell et al., 2000).
On the public level, it can be said that investing in education has several social and economic spillovers on the economy that lead to economic development. On one side, education mitigates the level of poverty and unemployment and improves the equity of income distribution. On the other side, education may increase the quantity and quality of domestic production and support the competitiveness of the aggregate output of the economy (Colclough et al., 2009; Saxton, 2000).
3. Study Problem
Like any other investment, investing in education has several potential returns; however, not every investment is successful.
The returns on investment in education are subject to the efficiency of allocating and using the resources dedicated to educational services where allocating resources to education without considering the demand for labor in the economy may harm the process of economic growth and development (Pissarides, 2000).
The efficiency of managing educational resources stands behind the divergence of the returns on investment in education from one country to another. Some countries managed to utilize the educational resources and increased the quality of educational output which is reflected in improved productivity of their factors of production while other countries have had low quality of educational output and suffered low factor productivity (Qadri & Waheed, 2013; Laabas & Razzak, 2011).
In this context, each country has to determine its quantitative and qualitative needs for the labor force and then direct the resources to serve these needs.
4. Study Objectives and Layout
This study shed light on the impact of higher and vocational education on the growth of aggregate output in Egypt and India. The study applied econometric analysis at the sectoral and aggregate levels to investigate the impact of higher and vocational education on the growth of output at the aggregate and sectoral levels. Finally, the study makes a comparison between the results obtained from the economic and statistical analysis of both countries to determine the direct and indirect impact of higher and vocational education on the two economies.
5. Study Hypotheses
(H1) Higher and vocational education supports the growth of real GDP in Egypt.
(H1) The impact of higher and vocational education is greater on the manufacturing sector in Egypt compared to the agriculture and service sectors.
6. Scope of the Study
This study covers the development of higher education, vocational education, and the growth of production on the aggregate and sectoral levels in both Egypt and India throughout the period 2000-2020.
7. Sources of Data
7.1. Indian Data
The data on education were collected from Budgeted Expenditure on Education published by the Government of India, Ministry of Human Resource Development, Department of Higher Education.
GDP data are collected from National Accounts Statistics published by the Central Statistical Office (CSO) of India.
The growth of real GDP, value added of different productive sectors, and other economic indicators are collected from the World Bank, World Development Indicators.
7.2. Egyptian Data
The data on education were collected from the Statistical Yearbook, Central Agency for Public Mobilization and Statistics (CAPMAS), Ministry of Higher Education and Scientific Research, and The Annual Bulletin of Students Enrolled (CAPMAS).
The growth of real GDP, value added of different productive sectors, and other economic indicators are collected from the World Bank, World Development Indicators.
8. Study Methodology
The study utilizes the ordinary least squares technique to determine the linear long-term relationship between higher and vocational education and output at the aggregate and sectoral levels in India and Egypt.
9. Testing the Study Hypotheses
• The first hypothesis
Higher and vocational education supports the growth of real GDP in Egypt.
The findings of the study indicate that the first hypothesis is not valid, as only higher education had a positive effect on supporting real GDP, and the absence of the effect of vocational education on production at the macro and sectoral levels.
• The second hypothesis
The impact of higher and vocational education is greater on the manufacturing sector in Egypt compared to the agriculture and service sectors.
The findings of the study indicate that the second hypothesis is not valid as well, where only higher education had a positive effect on supporting value-added generated by the manufacturing sector, the service sector comes in the first place as the most affected sector by higher education in Egypt while the manufacturing sector comes in second place
10. Recommendations
In light of the findings of the study, the researcher presents the following recommendations.
The insignificant impact of technical education on production at various levels confirms the need to develop the curricula and methods of vocational education in Egypt, where the educational objectives of these curricula must be linked to the requirements of industries in the various productive sectors; in addition, teaching expertise from professional practitioners must be engaged in the educational process to obtain the best results.
Businesses and factories must develop and establish private vocational schools that serve their production goals in particular and thus guarantee high productivity for graduates in the various productive sectors.
There is a need to develop the curricula and methods of higher education in Egypt, also a well-educated and qualified faculty staff to serve the manufacturing sector by adding more technological content to the output of the manufacturing sector and increasing the volume of exports with technological content which improves the term of trade of Egypt. Moreover, higher education has to change the structure of the service sector by increasing the weight of financial and technological services as an alternative to the acquisition of retail and wholesale trade in the services sector in Egypt.