Explain how investment in education stimulates economic growth.

Education is one of the important sources, which facilitates the human capital formation. Investment in education will help people in acquiring new skills and knowledge which will improve their productivity and also they will be able to adopt new technology as well as to invent new methods to increase the productivity. This will increase the income of the people and provide them a better living standard and will improve the quality of life.

So the investment in education will result in increased economic growth.