The perceived value of a college degree, and its cost

This question has lingered in the American consciousness for years — we’ve even touched on it before in this newsletter. But a recent study from the Pew Research Center shows while the public holds mixed views about the perceived value of a college education, data suggests that, in broad strokes, a degree pays off.

While household income has trended upwards over the last decade, Pew’s study notes degree-holders are consistently earning more than those without. Degree-holding men aged 25-34 have median annual earnings of $77,000 today, versus $45,000 for men in the same age range with only a high school diploma. A similar gap exists for women.

Only a quarter of respondents said it was extremely or very necessary to have a four-year degree in order to land a high-paying job. Just 22% said the cost of college is worth it even if someone has to take out loans (47% said it was worth it without loans). When broken down by politics, Republicans and Republican-leaning respondents were even more pessimistic.

To Richard Fry, senior researcher at Pew and co-author of the study, these responses demonstrate a “fairly pessimistic adult assessment of the value of college” and “it suggests to me that the issue of how it's financed looms large.”

Some figures: 70% of people who earn a bachelor’s degree graduate with debt. In 2021, 38% of first time undergraduates were awarded loan aid, according to the federal government. The average federal student loan debt is roughly $37,000. 

“In other words, for many of these newly minted graduates, it will be manageable,” Fry said. “But I'm not so sure that the public understands this.”

We can’t measure how these perceptions have changed over time because while Pew has been examining public perception of college for some time, the polling methodology has changed.

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Elsewhere on Open Campus

From Pennsylvania: In Pittsburgh, Emma Folts at Public Source explored the complicated questions around gender equity and the distribution of funds between athletes and programs at Pitt in the wake of the recent NCAA antitrust settlement.

From Florida: Ian Hodgson at the Tampa Bay Times wrote a fascinating story about Hatem Fariz, a fixture at pro-Palestine rallies and outspoken activist. In 2006 he pleaded guilty to providing nonviolent support to Palestinian Islamic Jihad, a federally designated terrorist organization. Since Oct. 7, he’s helped organize Tampa pro-Palestine rallies.

From Ohio: Amy Morona of Signal Cleveland wrote about the Ohio College Comeback Compact, which aims to get adults with some higher education back in the classroom. 

From Indiana: Claire Rafford of Mirror Indy profiled IUPUI’s Department of Music and Arts Technology, which she described as a “guinea pig of sorts for the “great divorce”” as the school prepares to split into IU Indianapolis and Purdue in Indianapolis next month. 

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