Freakonomics Podcast: Is College Really Worth It? Part 1

11th and 12th graders: I would very much like you to listen to this podcast. Will put it in assignments along with discussion points in next focus areas. Great for parents to listen to as well!!



LEVITT: The best way I think an economist thinks about the value of education is tries to figure out how the market rewards it and what other benefits come with it. And one thing is clear is that the market puts a tremendous reward on education. So the best estimates that economists have are that each extra year of education that you get is worth about maybe an eight percent increment to your earnings each year for the rest of your life. So it turns out for most people buying a lot of education, or at least for the average person let me say, buying a lot of education is a really good deal.

CANALE: One of the things that I’ve done in the past is I’ve talked to parents at the high school in Fairfield. And one of the things that I tell them is after you go to the admissions office at any school, go to the career center. Because it’s a great place to find out whether your son or daughter is going to have a good chance of finding a job, because you can find out what companies actively recruit at the school. And if you can see big-name companies, you kind of know that the education there is valued by employers. … I would say follow your passion, figure out what you have to do. Once you get into a school, what you do there is totally up to you. You could go to a second-tier school, let’s call it, and graduate in the top three percent of your class. And you would have a very bright future, you’d have very high prospects. Some kids today are graduating with $200,000 in debt, $100,000 in debt, and maybe they just weren’t the best consumer, you know, when it came right down to it.