The system dynamics (SD) and its modeling methods are used in a simulation for issues concerning education investment, economic growth and employment. It is shown that the education investment should be increased and the level of national education should be enhanced In that way, the great pressure of population can be transformed into a great advantage in human resources. Meanwhile, the pressure on employment related with population and other factors should be considered. A reasonable proportion for education investment relative to the regular investment should be maintained for a proper economic growth, which may serve as a guideline for the decision-making of the government.