University Degrees Maintain Job Market Value

Before the late 1980s, only about 14 percent of high school graduates went on to attend university. This number increased at the end of this decade because of university expansion, which allowed many more young people to attend university. By the mid-2000s, the number of people who entered university had risen by more than 40 percent, nearly doubling the amount of young people going on to attend university.

Although many would think that the advantages of having a degree would suffer as more young adults completed university and earned their own degrees, this is not the case. Although a high percentage of young people now hold degrees, those who have them still have many advantages over those who do not. Most employers all over the world would still prefer to hire employees who hold a university degree.

However, even though most employers prefer degrees, the number of open job positions is growing smaller in today’s economy. Ian Walker, a professor from Lancaster University, predicts that it could be very difficult for today’s graduates to find jobs immediately after graduation. The research completed by Professor Walker and his colleague, Yu Shu, from the University of Kent, is only one aspect in the examination of how valuable a degree can be in today’s labor market.

This research shows that, although the number of students attending university have almost doubled in recent years, the current labor market has been able to absorb them into its folds. Professor Walker’s research also indicates that women who earn degrees have seen the largest increase of earnings premium. Women who hold degrees often earn far more than women who do not.

Many researchers have debated over whether the increasing number of university graduates will, at some point, devalue the economic advantage of the actual degree. Some worry that increasing graduates will flood the job market, making it unable to withstand so many new job hunters. This could lead to a high rate of unemployment for recent graduates of universities worldwide.

However, current long-term research suggests that the value of a university degree will be maintained. This is largely attributed to the need for more skilled workers for today’s jobs. Thus far the economy has been able to support the job market for recent graduates, and research shows that this will continue to be the case.

Although the value of a university degree has been maintained, Professor Walker forecasts that students graduating in the coming months will face bleak job prospects. For example, ten students might be competing for one open position. The current economic recession could great affect the employment chances of these future graduates.