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This paper looks at a number of efficiency and equity aspects related to skill acquisition of young people and older adults. The results of this analysis suggest that such human capital investment is associated with valuable labour market gains for people, such as higher wages and enhanced employability, and that these gains exceed the original investment costs, mainly foregone earnings and tuition fees, by a significant margin. The analysis also indicates that the net benefits are strongly influenced by policy-related factors, such as study length, tuition subsidies and student support. Overall, the estimates suggest that there are strong incentives for the average student to continue their education past the compulsory schooling age, and highlight the benefits of such investment in education for society in general. However, the net gains fall with age, mainly as a result of a shorter period in which to take advantage of the benefits of education. In conclusion, the author points out that students in higher education tend to come from more affluent socio-economic backgrounds and that they benefit from large public subsidies. Young people from disadvantaged backgrounds, on the other hand, are less likely to participate in tertiary education and thus derive the benefit from public subsidies. Show less