install: with -d, use more accurate diagnostics

* gnulib: Update to latest to get the fix to
propagate the appropriate error message.
* tests/install/basic-1.sh: Add a test case.
* NEWS: Mention the bug fix.
Addresses https://bugs.gnu.org/79072

tests/install/basic-1.sh

@@ -148,4 +148,11 @@ returns_ 1 ginstall . . 2>err || fail=1
 printf '%s\n' "ginstall: omitting directory '.'" >exp || framework_failure_
 compare exp err || fail=1
 
+# Ensure correct diagnostic for failing to create dir
+mkdir -m 111 sub-ro || framework_failure_
+if ! mkdir sub-ro/d; then
+  returns_ 1 ginstall -d sub-ro/d 2>err || fail=1
+  grep 'cannot create directory' err || { cat err; fail=1; }
+fi
+
 Exit $fail