How America Managed To Turn Going To College Into A Bad Investment (2024)

FAQs

Why did Americans lose faith in college? ›

That consensus is now collapsing in the face of massive student debt, underemployed degree-holders and political intolerance on campus. In the past decade, the percentage of Americans who expressed a lot of confidence in higher education fell from 57% to 36%, according to Gallup.

Improving transparency, increasing accountability, and limiting subsidies for high-cost institutions would all help to reduce costs by increasing competition among colleges and helping students identify the institution best for them.

New research from the Bill & Melinda Gates Foundation, HCM Strategists, and Edge Research shows that overall confidence in the value of a college degree declined in 2023 while confidence in the value of job training and professional licensing programs went up.

The conventional wisdom is that attending college is a good investment. College graduates over a lifetime make, in present value terms, on average about $1 million more than those with high school diplomas.

A college degree just might not be worth it anymore. While higher education has long been viewed as key to achieving the American Dream, surging tuition costs, a hot labor market, and campus politics may be why college enrollment in the US has fallen in the last decade.

The main reasons include costs, stress and uncertainty. One-fifth of college students are parents, and around 40% work, making the balance of work and study tricky. Plenty of people will still flock to university but those universities can certainly better help those who start a degree to finish it.

If college was free, students might be more likely to skip classes, change their major, and study less. There's also the concern that students would be more likely to take a course “here and there” rather than working towards degree requirements.

Increased demand for a college education, less funding from state governments and increases in administrative and operating costs have contributed to a higher cost. Students can afford college by seeking funding sources such as scholarships, student loans and work-study to help foot the bill.

Making college affordable for more students can potentially increase access and lower barriers to completion, which could help close the projected degree gap by 2030, and at the same time promote more equitable access to and success in college.

Thus, while the benefits of college still outweigh the costs on average, not all college degrees are an equally good investment. The economic benefits of a college degree can be thought of as the extra wages one can earn with a college degree relative to what one would earn without one.

Will college be around in 10 years? ›

It's not a matter of extinction but adaptation. The traditional four-year degree may no longer be the default path to success, but higher education will continue to evolve. Degrees will still hold value in certain fields, especially those that require specialized knowledge and expertise.

Enrollment has been declining in higher education for more than a decade, and the most common explanations in recent years have been lingering effects of the pandemic and a looming demographic cliff expected to shrink the number of traditional-aged college students.

Here are some reasons why college might not be worth it: A degree isn't necessary for all career paths: While a college degree opens the door to many career opportunities, it isn't the key to every industry. Many careers in the service sector require a certification from a technical school or an apprenticeship.

If you are like most people, your career is going to be your primary income source for most of your life. A college degree does increase income and lower the chances of unemployment—both valuable factors to consider when weighing a college degree against a market investment.

Cons of Going to College:

The cost of college, the availability of high-paying jobs that don't require a degree, and underemployment — there is a long list of reasons why paying for college may not make sense for you.

A number of factors contributed to the across the board declines in religious affiliation, ranging from a loss of belief to a loosening of community ties, according to the poll and researchers who study religion.

Exposure to a variety of ideas, questions and doubt

Obviously, one of the things that happens at college is students are exposed to different beliefs, religions and skepticism about Christian faith. A professor may openly ridicule Christian ideas and beliefs.

Qualitative studies often find that the college experience reduces religious orthodoxy and promotes individualistic beliefs (Cherry, DeBerg, and Porterfield 2001; Cole and Ahmadi 2003; Lee 2002a). Some quantitative studies have found similar liberalizing effects.

They're not academically prepared. They're unhappy or feel stressed out/overwhelmed. Students might not feel sure that they are doing the right thing or made poor choices in college or major. Some drop out for medical or family reasons.