How College Destroyed The Labor Market

Summary

This video explores the evolution of higher education in the U.S., tracing its transition from a status symbol for the elite to a perceived necessity for economic mobility. Despite the expansion of college access, many graduates find themselves underprepared for the workforce, facing rising tuition costs and student debt. The shift away from vocational training has created a mismatch between education and job market demands, leading to a crisis in workforce readiness. The video calls for a reevaluation of educational approaches, emphasizing the importance of practical skills and the need for a balanced view of vocational and higher education.

Takeaways

• 😀 Over half of college graduates become underemployed within a year of graduation, with many not using their degree a decade later.
• 📚 The origins of higher education in America focused on religious training and social status rather than practical skills.
• 🌾 The Morrill Land Grant Act of 1862 democratized access to higher education by establishing colleges focused on practical subjects.
• 🎖️ The GI Bill after WWII opened college opportunities for millions of veterans, increasing enrollment significantly.
• 💼 The post-war economic boom led to a strong belief that a college education was essential for economic mobility.
• 💰 The Higher Education Act of 1965 expanded federal financial aid but inadvertently caused a rapid increase in tuition costs.
• 📉 Educational standards have declined, with a focus on college readiness overshadowing vocational training.
• 🔍 Companies have increasingly required degrees for jobs that previously did not require them, despite unchanged job tasks.
• 💸 Rising college costs and stagnant wages have led to significant student debt, impacting graduates' financial stability.
• ⚖️ There is a need for a balance between white-collar and blue-collar jobs, and society must reflect on its educational values.

Q & A

What percentage of college graduates become underemployed within a year of graduation?

According to the Burning Glass Institute, over half of all college graduates become underemployed within a year of graduation.

How has the perception of college education changed from the 17th and 18th centuries to today?

Originally, college education was a symbol of status primarily for religious training, but it has evolved into a perceived necessity for economic mobility, especially in the context of the American dream.

What was the impact of the Morrill Land Grant Act of 1862?

The Morrill Land Grant Act aimed to democratize higher education by providing land to states to establish colleges focused on practical subjects like agriculture and engineering, thus expanding access beyond the elite.

How did the GI Bill change college enrollment after World War II?

The GI Bill provided millions of returning veterans with access to higher education, covering tuition and living expenses, which significantly increased college enrollment.

What was a consequence of the Higher Education Act of 1965?

The Higher Education Act aimed to make college more accessible by expanding federal financial aid, but it also led to institutions raising tuition fees, as they capitalized on the increased availability of federal funding.

How did the Vietnam War influence college campuses in the 1960s?

College campuses became centers of protests against the Vietnam War, with many students and professors criticizing American policy, leading to a shift in the perception of education and its role in society.

What economic trend occurred regarding job training and hiring practices from the 1980s onward?

As companies focused on efficiency and cut costs, they shifted from training new employees to requiring degrees for positions that previously did not need them, leading to a significant decrease in internal promotions and job training programs.

What did the 'Nation at Risk' report from 1983 highlight?

'A Nation at Risk' called for reform in the public education system, citing a decline in educational standards and a need for more rigorous academic measures.

What challenges do recent graduates face in the current job market?

Recent graduates often find themselves underprepared for the workforce, with many hiring managers stating that they require more experience than before, despite having degrees.

What is the impact of rising college tuition on graduates' financial stability?

With college tuition rising dramatically, many graduates face significant student debt, which hampers their ability to afford basic living expenses, invest, or buy homes.