An Assault on America’s Prosperity

The greatest assault on middle-class America’s prosperity may be the relentless, four-decade-long inflation in higher education. Between 1980 and 2019, college costs increased 169%, while earnings for young workers rose just 19%.

This doesn’t mean young people should skip college. In fact, a college degree is more necessary than ever before: Today, 2 out of 3 jobs require a postsecondary education and training, while in the 1970s, only 1 out of 4 required a degree. The bottom line: college degrees have grown more important and more expensive, while the ROI has gotten worse.

Americans’ total student loan debt ($1.7 trillion) is now greater than their credit card debt. And that doesn’t account for the busted 401(k)s, second mortgages, and general financial oppression my industry has levied on lower- and middle-income households.

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Change in College Costs vs. Earnings for Young Workers

Constant 2019 dollars

Source: Georgetown University Center on Education and the Workforce.