International Literacy Day is celebrated across the world tomorrow. This year’s International Literacy Day will highlight the challenges and opportunities in promoting literacy in the digital world. Despite progress, at least 750 million adults and 264 million out-of-school children still lack basic literacy skills.

“Evidence suggests that there are economic gains for individuals if they have better basic skills,” writes Anna Vignoles. “...policymakers need to ensure that both school leavers and adult workers have higher levels of literacy and numeracy. If this can be achieved—even though the currently high premium paid to those with even modest levels of literacy and numeracy will decline somewhat—it would be expected that, overall, individuals would be more productive, which would have wider economic benefits.”

Niels-Hugo Blunch identifies adult literacy programs (ALPS) as a potentially important vehicle to improve literacy and numeracy skills. In many developing countries, however, these programs do not seem to have achieved their forecasted objectives and therefore have been neglected or abandoned in recent years. But, evidence shows the ALPs do affect other important socio-economic outcomes such as health, household income, and labor market participation by enhancing participants’ health knowledge and income-generating activities.

Further articles on education and labor policy:

• What is the economic value of literacy and numeracy? by Anna Vignoles
• Adult literacy programs in developing countries, by Niels-Hugo Blunch
• Do skills matter for wage inequality? by Stijn Broecke

• Production spillovers: Are they valued? (Deutsch) by Joseph Price
• How does international trade affect household welfare? (Deutsch) by Beyza Ural Marchand
• Job search monitoring and assistance for the unemployed (Deutsch) by Ioana E. Marinescu
• Air pollution, educational achievements, and human capital formation (Deutsch) by Sefi Roth
• Competitiveness, labor market institutions, and monetary policy (Deutsch) by Ester Faia

Visit the IZA World of Labor site for more concise, informative, evidence-based articles across the spectrum of labor economics.

All newly published one-pagers are also available to read and download in German. Find out more.