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Declining Value of Your College Degree

Dan Pink called this one a few years ago with his book, A Whole New Mind and this article provides concrete numbers to make the case. The median weekly salary for individuals with a bachelor’s degree, adjusted for inflation, decreased from 2001 to 2007 by 1.7%. Even those with a master’s degree experienced a decrease of 1.0%. It’s only with a professional degree (e.g., J.D. or M.D.) or a PhD that the median weekly salary saw a rise.

The reasons for the decline?

"Economists chiefly cite globalization and technology, which have prompted employers to put the highest value on abstract skills possessed by a relatively small group, for this state of affairs."

Abstract skills. Read:right-brain competencies. As Pink says in his book,

"….[I]ndividuals…must examine what they’re doing to earn a living and ask themselves three questions:

  1. Can someone overseas do it cheaper?
  2. Can a computer do it faster?
  3. Is what I’m offering in demand in an age of abundance?

If your answer to question 1 or 2 is yes, or if your answer to question 3 is no, you’re in deep trouble."

If you aren’t sure what skills you need to develop, read A Whole New Mind. Three years after it was originally published, it’s still right on target.

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