Economics of a College Education

Low Demand for Bachelor's Degrees and High Supply Means Low Salaries

Demand is About 27%





Supply is Much More

 1. Why Do- Students Enroll In Massively
Oversupplied-University Degrees
 2. Jobs, pay, and skills for 3.5 billion people
 3. Is Financial Aid Welfare? O10/14 had 68.4%
      of 2014 high school graduates were enrolled
      in colleges or universities, Some are enrolled
      to collect Pell Grants for spending money.

Oversupply Pushed Wages Down

See Salary Data 1  2  from,
Salary Payback Analysis from WSJ and
These U.S. Colleges and Majors
are the Biggest Waste of Money Atlantic


Bachelor's Degree Can Be
a Poor Economic Investment






Economists Thoughts on More Education

Paul Krugman: rising wage premium for higher education is over 

L.Thurow: little/no payoff from a little bit more education

C. Murray: encouraged more investing in our best and brightest

A. Greenspan: solving skills shortage with education reform will take years.

P. Drucker: stress what learners do well, schools don't do that

For more economist opinions concerning  education visit Educating the Class of 2030

Editors Note: Those who determine spending on education have decided that all students are created equal but remember that "some students were created more equal than others. People with the personal characteristics it takes to complete college are substantially above average and would make more than average even without college. Ask Bill Gates or my talented buddy Alton who never finished but did very well.

Determinates o college Education Demand

In a Flat World our best and brightest students are in a competitive struggle with the best and brightest from around the world. Their wealth creating ideas will quickly spread around the world

More Intelligent Computers
mean the education level of workers replaced will increase.

Robots mean less Workers.
Whether it's portable flexible cheap robots in manufacturing
or robots cleaning offices and homes or 3-D printers creating everywhere, required hours
per task will dramatically drop.


Suggestions to Walter Antoniotti







Major matters - The lifetime earnings of an education or arts major working in the service sector are actually lower than the average lifetime earnings of a high school graduate.


Economic Return Based
Upon What You Learn Not Where



Bachelors Degree Only Earnings
Are Down 15% and Costs Are Way Up

So Delinquency Rates Skyrocket

It's Not Getting Better

Average Student Loan Debt
Bachelor's Degree Jobs

Source 6/14

Educating the Class 2030

Only Half of First-Time College Students Graduate in 6 Years  "...just over half of them (54.1 percent) had graduated within six years. Another 16.1 percent were still enrolled in some sort of postsecondary program after six years, and 29.8 percent had dropped out altogether." from  by CATHERINE RAMPELL

Page 2 Individual Majors and Income
Occupations and Job Growth
Colleges with the worst return on Investment 5/4/13
Effects of graduating college during recession 2010
Educating the Class of 2030 

Public Colleges Certificates Aren't-a-Better Bet Than For Profits Programs


Many Do Not Finish Though
Profits Have Incentive to Keep Students In Class


Only the Top Public Students Make a Return on Investment

The earnings gap doesn't tell the whole story.

hamilton project graph copy



Infographic: The Most (and Least) Worthwhile Degrees | Statista