President Obama has made it part of his regular education speech that the best path to the middle-class is through a college education.
And the numbers bear it out. Getting a college degree brings higher earnings over a lifetime. Today, those with a bachelor’s degree earned 84% more money over a lifetime than those with a high school diploma.
And it doesn’t take a bachelor’s degree to obtain greater earnings. Even 1 year of college gives you a bigger payoff. The more schooling you have, the bigger the gain. So, what’s the problem? Seems like long-term, college is a great investment.
But, there’s a growing feeling that college is too expensive and brings enormous debt that stays with you, sometimes for decades. Then, there’s the fact that even with the advantage of a college degree, a lousy job market means there’s no work out there once you leave school.
It all has some economists worried that a new bubble is about to burst, the education bubble.
This episode originally aired on September 20, 2012.