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This chapter aims to provide a general overview of the empirical evidence concerning the relationship between the economy and the education and training system. It questions whether there is evidence of such a link, and if there is a link, is it straightforward or is there a deeper level of complexity? Relevant statistical evidence is examined, largely arising from the work of economists, and focuses on two general, but related issues. The first centres on the determinants of who receives education or training (and how much), and the impact of each on various measures of economic performance. The authors, despite criticisms of the human capital approach as pure theory, use it to outline the manner in which hypotheses about the allocation of education and training can be derived. The rest of the chapter discusses the economic determinants of training and education, the determinants of education and training, such as economic incentive, the economic effects of education and training, the impact on individuals, the impact of firms, industrial and national effects. The authors emphasis that although there is no ideal methodology for accurately estimating the relationship between education and training and economic performance, the totality of evidence does allow some substantial general conclusions to be drawn.