2020/01/02 by Peter Cappelli
Social Sciences · Economics, Econometrics and Finance · #Higher Education Research Studies #Labor market dynamics and wage inequality #Intergenerational and Educational Inequality Studies
paper · doi:10.1080/03054985.2019.1689939
I consider the evidence about the return to the cost of a college degree based on research from the US. Many countries, including the UK, are increasing the share of college costs paid for by individuals based at least in part on the notion that college graduates gain a great deal of income from their degree. The US is arguably the country where this notion is most accepted and is also where students and their families pay the most for college. While there is little doubt that college graduates earn considerably more than non-graduates, how much of that should be attributed to education per se as opposed to other factors such as the greater resources and abilities of college students even before they begin college is less clear. When we consider whether the costs paid by students and their families is worth the investment, the results are mixed, depending on the college.