The Economics of a College Degree
Is It Still Worth It?
Kolbe | Economics Capstone
The Rising Cost of College
$120K
$1.87T
$39,633
4-yr cost
public college
total U.S.
student debt
avg. debt
per borrower
Tuition has tripled since the 1960s after adjusting for inflation.
Does College Still Pay Off?
90000
$77 636
80000
Bachelor's degree holders earn
66% more on average than high
school graduates.
70000
60000
50000
$46 748
40000
30000
Unemployment rate:
20000
3.1% with a degree
5.8% without one
10000
0
High School Diploma
Bachelor's Degree
The Skilled Trades Alternative
College Grad
Electrician/Plumber
Electrician/Plumber
Avg. training cost
$120,000
$5,000 – $33,000
Avg. starting debt
$29,560
~$10,000
Median annual wage
$77,636 (all fields)
$62,000 – $63,000
Trade workers can earn a full wage years earlier, with a fraction of the debt.
It Depends on the Path
•
High-demand degrees (nursing, engineering, CS) still pay off quickly
•
Low-demand degrees with high debt can take decades to break even
•
Skilled trades offer strong pay with far less cost and debt
•
The real question: which path, at what cost?