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Human Growth and Development / Unit 11   HGD 1555 worked example, 60 to 90 seconds

Education, Earnings and Unemployment

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The idea

Education pays, in both earnings and employment. In twenty twenty-two, median annual earnings were about seventy-four thousand dollars with a bachelor's degree, fifty-two thousand with an associate's degree, forty-four thousand with a high-school diploma only, and thirty-five thousand without one. Unemployment ran in the opposite order: about two percent with a bachelor's, nearly three with an associate's, three and a half with some college, four with high school, and five and a half without a diploma.

In practice

Two thirty-year-olds with two years of college each, one holding an associate's degree and one with unfinished credits, facing different unemployment rates.

Where people slip

The misconception is that an associate's degree is the same as unfinished credits; employers treat them differently. The earnings gap is small at first and widens in middle adulthood, and location and field of study matter too.

Your place on the trail

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