Analysis Finds 1 in 4 Higher Education Programs Yield Lower Earnings Than High School Graduates, Prompting Surge in Trade School Enrollment

Enrollment in South Bay trade schools is on the rise as Americans question the value of a college education due to soaring costs. A new analysis of earnings data reveals that attendees of some higher education programs earn less than the median annual income for high school graduates, raising doubts about the economic benefits of a college degree. The findings underline growing skepticism about whether a college education justifies the financial burden of student debt, leading to a shift in perceptions about the value of a four-year degree. Itzkowitz, the founder of The HEA Group, points out that dropout rates and student loan defaults are higher among individuals who attend programs with lower earning potentials. Notably, many of the post-secondary programs with lower income outcomes are offered by for-profit institutions, trade schools, community colleges, religious institutions, and arts programs. Conversely, certain public state universities and colleges provide excellent value by significantly boosting graduates' incomes at an affordable price. While Ivy League colleges produce the highest incomes for their attendees, larger public colleges across the U.S. enroll the majority of students and offer good outcomes at an affordable cost.

The Current Education Landscape

As college costs rise, many Americans are turning to alternative education paths, raising questions about the true value of a traditional four-year degree.

Impact of Program Selection on Earnings

An analysis of earnings data suggests that the choice of educational program significantly influences the future income potential of graduates, prompting a reconsideration of the economic benefits of various education paths.