Is College Worth the Time and Money?

Summary

This video explores the question of whether college is the best option after high school. It discusses the financial burden and risk of student loans, the changing job market, and the fact that a degree is no longer a guarantee of a well-paying job. The script also highlights alternatives to traditional college, such as trade schools, apprenticeships, and the growing trend of companies valuing skills over degrees. It concludes by acknowledging the benefits of a college education, including potential lifetime earnings and networking opportunities, while emphasizing that the decision should be personal and well-considered.

Takeaways

• 🎓 College is often seen as the default path after high school, but it's not the only option and may not be the best fit for everyone.
• 🏛️ Historically, a high school diploma was enough for a good job, but today's economy values a college degree more for access to middle-class life.
• 📈 The cost of college has risen significantly over time, with students in 1990 paying one-third of what students pay today after adjusting for inflation.
• 💼 Despite the high costs, new college graduates today earn about the same as those in 1990, indicating a potential mismatch in return on investment.
• 💸 The average student graduates with substantial debt, which can take over 20 years to pay off and limit other life choices like buying a house or saving for retirement.
• 🛠️ Trade schools and apprenticeships offer alternative paths that can lead to well-paying jobs without the burden of college debt.
• 🔍 A significant number of college graduates are underemployed, meaning they work in jobs that don't require a degree, calling into question the necessity of a college education for certain careers.
• 🤔 Many people regret their college choice or major, suggesting that the decision made at a young age may not always align with long-term career goals.
• 💼 Companies like Apple, Google, and IBM are among those that no longer require college degrees for employment, recognizing skills and experience over formal education.
• 💼 College graduates have better long-term earning potential, with research showing that a bachelor's degree pays off more over a lifetime compared to trade school or no degree.
• 🌐 College offers more than just academics; it provides networking opportunities, exposure to diverse ideas, and a transition into adult life with support systems.

Q & A

What is the main question discussed in the video?

The main question discussed in the video is whether college is really the best option after high school.

What are the alternatives to a traditional four-year college degree mentioned in the script?

Alternatives mentioned include attending community college, trade school, pursuing apprenticeships, and directly entering the workforce.

How has the value of a high school diploma changed from 1950 to the present day?

In 1950, a high school diploma could secure a good-paying job, but today, most good-paying careers require a college degree due to their complexity.

What is the average cost of attending a private college according to the script?

The average cost to attend a private college is over $35,000 dollars a year.

What is the average student loan debt upon graduation?

The typical student leaves college owing around $30,000 dollars.

What percentage of recent college graduates are underemployed according to the Federal Reserve Bank of New York?

41% of recent college graduates are underemployed, meaning they are working jobs that typically don't require a college degree.

What is one of the arguments against going to college mentioned in the script?

One argument against going to college is the risk of incurring significant debt and potentially not graduating, which could lead to wasted resources.

How does the script suggest that college can help with career opportunities?

College can provide access to career resources, internships, and alumni networks that can aid in job opportunities.

What is the long-term financial benefit of having a college degree as discussed in the video?

College graduates will earn $900,000 dollars more over their lifetime than the typical high school graduate.

What is the perspective of Elon Musk on the necessity of a college degree?

Elon Musk, despite having attended college, suggests that a college degree is not necessary for success.

What is the '20/20/20 rule' mentioned in the script regarding college graduation rates?

Four out of every 10 students fail to graduate within six years, which is referred to as the '20/20/20 rule' in the script.