What is the apparent relationship between higher education and an educated worker's prospects for wealth?

Answer 1

The level of education increases proportionally with wealth with a few exceptions. Women make less than men with a PHd, also, women with children make less than counterparts with the same educational background. They are perceived to be less driven about work. Finally the one last thing is that women who have a PHd also make a lower proportion of money to education than men.

Answer 2

US Census data suggests that the more education an individual has, the more money they will make. The difference between the earnings made at different educational levels grows as you get older, because employers value a combination of education and experience.

In other words, folks in their twenties are just beginning their careers at any educational level, and you don't see much difference in earnings then. But you can really tell the difference education makes in the earnings of people in their thirties, forties, and fifties.

For example, high school graduates between the ages of 21 and 24 have a median income (meaning half make above and half make below this amount) of $19,659. Those with some college make $20,692, and those with a college degree (not including advanced degree holders) make $27,074.

On the other hand, for workers in their late forties and early fifties, the median incomes are:

high school graduates $30,315
some college $36,892
college graduates $49,455

You can use the data from the link below to graph it yourself.

Answer 3

So far as I can tell, nothing. I have a law degree and as of yet haven't found a decent job -- I work at Kinko's. Yes, you NEED the degree, but unless you're in the top 10%, you NEED to know people.

On the other hand, it all depends on the type of degree. What prospects does someone with masters in philosophy and literature have? I worked as a temp with someone who had both. She loved getting the degrees, wasn't worried about money, but was a little concerned about paying back her school loans. Many degrees help us to be better people, as long as we're not snobs. Many times, that's when the wealth comes in -- when you get the money, you become a snob. My two cents after a glass of red wine...

Answer 4

As a general rule a better education will net you a better wage.

The wealth comes in to play only if you don't spend all of the money you earn.

So you may earn less but if you save more you can have more wealth with less earnings.

Answer 5

Knowledge = money!