Earnings Still Higher for College Grads
In a normal economy, more education typically means lower unemployment and higher earnings. Although there’s been a lot of concern over the last few years about the value of a college education—particularly about recent college grads being unable to find work, the data is clear that graduates are better off with even some college.
Based on a Hamilton Project study from 2011, the chart above shows that even in the middle of the worst recession since the Great Depression, those with some form of education after high school were still experiencing higher earnings and lower unemployment than those with just a high school diploma or less.
According to Michael Greenstone and Adam Looney:
It’s also worth noting here that earnings for those with some education after high school tend to increase with time, so the earnings premium illustrated in the chart will only widen as workers gain more experience.
The takeaway here is that everyone should seriously consider getting some kind of additional education after high school. More education opens the door to higher earnings and more job security down the road.
And although many think college is out of reach for financial reasons, there are plenty of financial aid options available to make it affordable for even the tightest of budgets.
Read more: How Do Recent College Grads Really Stack Up?