The Re-Skilling of America
Like other forms of inflation, degree inflation reduces the inflated unit of currency. Today a worker earning between $40,000 and $60,000 in inflation-adjusted 2022 dollars is as likely to have a bachelor’s degree as a worker in 2006 who earned between $60,000 and $80,000, when there were fewer college graduates as a share of the workforce. According to the Foundation for Research on Equal Opportunity (FREOPP): “Between 1990 and 2021, all occupational categories except one—teachers and librarians—experienced degree inflation, meaning the proportion of prime-age workers with a bachelor’s degree increased.”
There is no reason to believe that receptionists and bank tellers with B.A.s in popular majors like communications or business, to say nothing of gender studies, are more productive and skilled than their non-college-educated predecessors who had high school educations plus on-the-job training. According to a surveyof employers by Bloomberg, college diplomas are most often used as a screening device for entry-level job applicants, rather than as evidence that the potential hires have job-relevant skills: “For more than half of employers surveyed (60 percent), a college diploma was seen as a stand-in for work ethic, personal skills and mental capacity, as opposed to the actual skills associated with the job.”