Question : The "return on investment in education" is generally measured by:
Option 1: The increase in GDP due to educational expenditures
Option 2: The difference in wages between skilled and unskilled workers
Option 3: The rate of economic growth in a country
Option 4: The level of educational attainment in the population
Correct Answer: The difference in wages between skilled and unskilled workers
Solution : The correct answer is (b) The difference in wages between skilled and unskilled workers.
The return on investment in education refers to the economic benefits or gains that individuals or society can expect to receive from investing in education. One common way to measure this return is by comparing the difference in wages earned by individuals with different levels of education. Typically, individuals with higher levels of education, such as advanced degrees or specialized training, tend to earn higher wages compared to those with lower levels of education or skills. This wage differential reflects the return on investment in education and is often used as an indicator of the economic value of education.
