How does this type of investment pay off for both employers and their employees? real life example?

Answer

Focusing on higher education can be taken as a capital good related to human capital in that it builds developmental skills which are important in production activities. The higher the education level, the higher the average income of an individual.

Explanation

In real life, there is more focus on education because it creates improved citizens and aids in upgrading the standard of living in a society. An educated individual is an improved person because of new ideas and knowledge about the area of specialty which other people are not aware of. In addition, a higher the level of education is associated with higher income which can lead to an improved standard of living.

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