How can the correct setting of character encoding in the Content-Type HTTP header improve the display of Umlaut characters in PHP-generated web pages?

Setting the correct character encoding in the Content-Type HTTP header informs the browser how to interpret special characters like Umlauts. This ensures that Umlaut characters are displayed correctly on PHP-generated web pages. To fix this issue, you can set the character encoding to UTF-8 in the Content-Type header of your PHP script.

<?php
header('Content-Type: text/html; charset=UTF-8');
?>