The phrase "Education is not an externality" is so baffling to me. The education system is of course not an "externality"--those are two completely different cl

The phrase "Education is not an externality" is so baffling to me. The education system is of course not an "externality"--those are two completely different classes of things. On the other hand, the process of education is definitely, definitely, definitely tied to externalities--along with infrastructure, it's the prime example of what an externality is, to the extent that I'm not sure you know what that word means. Do you not think an educated population has benefits not captured by the decisions of the market?