Education Pays


by Rachel Vilsack

Each year, the Bureau of Labor Statistics (BLS) produces a chart showing median weekly earnings and unemployment rates by level of education. The trend is always the same: as your educational level increases your wages are likely to grow and your chances of being unemployed declines. But for college bound students or recent college graduates, does it matter what you study?

 

Education is the first step to boost your earning power and employability. First, let’s understand the general trend. According to BLS, adult workers (age 25 and over) with less than a high school diploma had median weekly earnings of $471 in 2012 and an unemployment rate of 12.4 percent. For workers with a bachelor’s degree, earnings were $1,066 and the unemployment rate was 4.5 percent. Indeed, education, wages and unemployment are correlated.

 

Of course, with so many different educational options and fields of study, does it matter what a college student majors in? A new report by the Center on Education and the Workforce at Georgetown University looks at unemployment and earnings differences by college major for new and experienced college graduates. Majors with the lowest national unemployment rates among recent graduates in 2010-2011 include nursing, elementary education, physical fitness, parks and recreation, chemistry and finance. The highest unemployment rates for recent college graduates include those that majored in information systems, architecture, anthropology, film/video/photography arts, and political science.

 

High unemployment rates for recent college graduates can be attributed to the economy, which in 2010-2011 was still in recovery from the recession. The report demonstrates that college degrees won’t always insulate workers from joblessness, so it’s important to research careers and be prepared for changing economic conditions.

 

2 thoughts on “Education Pays

  1. Laura January 20, 2015 / 11:29 pm

    Considering the price of education in the United States, it’s definitely reassuring to see the statistics backing the argument that we all hope is true when we fork out all that money: that some day our education will pay off. Before entering into my undergraduate degree, I wish someone had told me that different majors would make different amounts of money. I’m sure if you’d asked me then, I would’ve known at a very surface level that this fact were true but seeing the data laid out like this really makes you think…

    Like

  2. austina January 19, 2015 / 7:45 pm

    After reading the article, it makes sense that depending on your major and what is popular in the economy. Since America is more of a business culture that of course business type majors are gonna thrive in our society, because they are more stable.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s