My project will focus on the impact of capitalism on education in modern society focusing mainly on the work of Jean-Francois Lyotard. Through his work I look at Lyotard’s attempt to describe the state of knowledge and the problem of its legitimation in developed western societies. • Over the last few hundred year’s education has changed dramatically, especially within the developed world. Gone is the idea that reason alone is a sufficient guide to action. In fact the idea that rational thinking provides us with a universal guide has become increasingly problematic during post-modernity. • With the rise of capitalism as the dominant socio-economic force within the modern world, knowledge has become a commodity which can be bought and sold. For Lyotard, knowledge is now the principal force of production. This commercialisation of knowledge, according to Lyotard could raise serious questions about the nature of ethics and the very relationship between governments and large multinational companies. • My essay will judge the role of what Lyotard calls ‘performativity’ in education and the capitalist system that requires constant re-evaluation in order to generate optimal output. • Using up-to-date education statistics and recent newspaper and TV articles I will attempt to show how education is not simply about educating people. It is instead a means to produce a workforce to meet the demands of capitalism. However that very capitalist system has now infiltrated schools, with the rise of privately funded academies, and new emphasis on league tables and performance related pay. I will discuss how this has impacted on education, positively or negatively? • What impact has this also had on the individual freedom, happiness and identity? Is our culture of working exhaustive hours in order to consume and the desire to consume installed in us through education? Main Sources: Jean Francois Lyotard – The Postmodern Condition: A report on Knowledge and Just Education, Jacques Derrida – Derrida and Education, Jurgen Habermas – The Legitimation Crisis