Does education increase economic growth? Explain your answer. What wi

Does education increase economic growth? Explain your answer.

What will be an ideal response?

ANSWER

Yes. While the relationship is not easily quantified, but there does seem to be a positive relationship between education and economic growth. At the same time, however, higher incomes (from economic growth) cause individuals to consume more education, so the causality runs both ways. This is why we see such a large correlation between education and economic growth in the aggregate.