Exploring the relationships between socio-economic indicators and student enrollment in higher education institutions of Pakistan.

Higher education is considered as the engine of the economic development of a country due to its role in cultivating human capital. The provision of higher education is regarded as a productive investment in human capital for improving nation's productive capacity. However, there is a large gap in enrollment between students of different socioeconomic statuses. The ever-widening socio-economic inequalities between individuals from disadvantaged and advantaged backgrounds make the government's efforts to enroll a higher number of students to pursue higher education challenging in developing countries, as the students' socioeconomic status plays a decisive role in their priority to attain higher education. This study anticipated quantifying the impact of socio-economic indicators and underlying situations on students' enrollment in higher education in Pakistan. A descriptive study, involving correlation, principal component analysis (PCA), clustering, and stepwise regression using 15-years data of enrollment and socio-economic indicators was conducted. The correlation between different socio-economic indicators and students' enrollment was positive and highly significant (0.73 to 0.99), except for the unemployment rate (- 0.39 to -0.57). PCA showed that the first two components were the most influential with 93.85% of the total variation. Enrollment (total and male) showed significant relationships with general government expenditure and unemployment rate, while female enrollment showed a significant relationship with general government expenditure. Findings revealed that socio-economic factors can serve as a significant predictor of students' enrollment in higher education. The minimum values of correlation coefficient (R) and adjusted R2 for enrollment were ranged from 0.875 to 0.748 (female enrollment), while maximum values (0.987 to 0.993 and 0.973 to 0.983), respectively were observed for total enrollment. The findings will assist educationists, social scientists, and policymakers to better understand the association between socio-economic indicators and student enrollment in higher education for formulating future education policies for enhancing enrollment in higher education.