Conventionally, illiteracy is considered as a challenge facing poorer nations. However, it is becoming evident that the illiteracy rate is also increasing in certain advanced countries. While prioritizing skills over certifications is the major contributing factor, it can affect the economic growth of such regions.
First and foremost, the prioritization of skills over certificates earned is the principal attributable factor to the rise in proportion of illiterates in developed countries. Put differently, in the past, education is considered to be an integral part of any society and people were paid based on their educational qualifications. In contrast, this has experienced a transformation in this contemporary world, where people receive remunerations base on their talents and techniques, consequently schooling is undervalued. For instance, in countries like Australia and Japan, the richest citizens are uneducated, thanks to the entrepreneurship skills which give them not only national but also international recognitions, while professors are struggling to put food on their tables.
Meanwhile, the above-mentioned development has detrimental effects on the economic growth of such nations. This is because it is abound by evidence that poverty is considerably linked with the education of a region, that is, the higher the number of literates in a society, the lower their poverty rate and their strength to overcome economic problems when they arise. Germany was able to solve economic instability over a short period of time due to the substantial numbers of educated experts they have while Italy had to request for assistance from other nations to solve the same issue despite the fact that it was one of the richest countries before the economic downturn.
In conclusion, while giving priority to skills over certificates is the principal driving force to the afformentioned development, its impact on the economy is the unfavorable outcome of such growth.