Mark: For the past several decades, America has operated under a very simple principle,
the surest path to labor market success is through a bachelor's degree granted by a four-year
college or university.
Rooney: But bachelor's degrees may not always be the best option for all students.
For starters, they're expensive.
They take at least twice as long to complete as associate degrees.
Large numbers of students who start on the path to bachelor's degrees will never finish,
merely ending up with debt and regret.
Mark: Basically, it's time for America to rethink the bachelor's degree addiction.
Students enroll in college for a variety of reasons.
To get a general education.
To learn more about what interests them.
To find purpose in their lives.
That's all true, But time and time again, surveys tell us that the primary reason students
attend college is to find a good job with good wages.
Is the bachelor's degree a sure fire way to get there?
Not always.
Let's look at some data.
Business administration majors with bachelor's degrees from the University of Texas at Austin
clearly earn more than sociology majors with the same degree from the same school one year
after graduation.
But now, head east of Austin and you'll find associate degree holders who out-earn the
business major now and even in the long run.
Rooney: And this isn't as rare as you might think, either.
Check out Florida, for example.
Students graduating from public colleges might leave school with a bachelor's degree making
less than $25,000 per year 5 years after school.
For instance, an associate degree in photography will get you $21,000 a year.
But so might a bachelor's degree in exercise physiology.
Now, on the flip side, Florida's graduates could earn median salaries over $75,000 if
they choose the right associate degree or apprenticeship program from the right school.
That's right, an elevator constructor apprenticeship can get you $96,000, 5 years after completion.
Mark: Across the states, you find many programs bachelor's degrees or otherwise that provide
avenues to the middle class.
You'll also find many programs that middle-class aspirants should avoid altogether.
Other studies are finding similar things.
Certificate and associate degree holders in many applied or technical fields can actually
out-earn their bachelor's degree counterparts five years post-completion with graduates
from some programs maintaining the earnings advantage at least 10 years after completion.
Rooney: The biggest takeaway, majors matter.
Choosing to study the right thing is key.
In fact, most of the programs that lead to high wages have one thing in common, they
produce graduates who know how to build things, they know how to fix things.
Mark: Now, before we get too carried away with the data, here are some caveats.
Remember, more often than not, a bachelor's degree can get you more money over the long
haul.
The Georgetown Center on Education and the Workforce estimates that 28% of workers with
an associate degree earn more than the median earnings of workers with a bachelor's degree.
But not always.
Rooney: Consider also the amount of money that you might have to put up in tuition to
earn the bachelor's degree to secure that better outcome after graduation, as opposed
to other certain shorter or cheaper alternatives.
Researchers also aren't entirely sure if different programs make valuable graduates or if certain
programs attract students who are inherently marketable.
The most likely answer is that it's a combination of both.
The scale of these programs also needs to be considered.
Floridians completing an elevator mechanic apprenticeship might just earn more money
because there are less students completing that program.
Lower wages for bachelor's degrees in the arts and humanities might represent an over-saturation
of the market.
Remember, too, these data portray median earnings.
Half make more and half make less.
Finally, comparative advantage is relevant here.
A high-earning or high-ability English major can't always pivot to become a high-earning
or a high-ability physics major.
Prior skills and prior interest plays a necessary part in the outcomes of different individuals.
All that said, the main point here is that there are many paths to the middle class that
do not have to run through four years at a traditional college.
Associate degrees, apprenticeship programs, certificates, and certifications can all result
in high wages and a successful future for many Americans.
With better information, students can make better choices and many young people can enjoy
the benefits of post-secondary education while mitigating its costs.
Mark: Indeed, rethinking America's bachelor's degree addiction will help more students more
affordably secure what they want.
A good job with good wages.
Thank you all for watching.
To learn more about my take on the bachelor's degree addiction, check out the link to "Degrees
of Opportunity" in the description below.
Also let us know what other topics you'd like AEI scholars to cover on "Rethink Tank," and
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