Acharya Prashant explains that modern education is largely superficial because it focuses exclusively on external objects, such as languages, history, geography, and technology. While this knowledge is important for navigating the world, it fails to address the nature of the self. He argues that real education must take the mind inward to understand its own processes, such as anger, insecurity, restlessness, and jealousy. Without this internal inquiry, a person remains uneducated regardless of their academic degrees, leading to a world of smart technology but unintelligent people.