Educational Endowment Theory

Educational Endowment Theory suggests that investing resources—such as time, money, or effort—in education creates a form of "endowment" that benefits individuals and society over time. These investments improve skills, knowledge, and productivity, which lead to higher earning potential and economic growth. Essentially, the more and better-quality education a person or community invests in, the greater the long-term returns in terms of personal development and societal progress. This theory underscores the importance of continuous investment in education to generate sustained economic and social benefits.