Importance of college education - Research Paper Example

? Importance of College Education Education represents an important factor in people’s lives because it provides them with knowledge and nourishes their mind. In most countries, the first years of education are compulsory in order to give children the opportunity to acquire the basics necessary for their social formation and prepare them for life. However, college education constitutes another level that requires not only a solid financial standing but also a strong commitment. The importance of college education has been raised in various studies most of whom recognize its significance. I strongly believe that college education is very important in the sense that it offers better career choices and high wages likely to resolve the social instability prevailing in many families but also presents minorities with chances to climb the social ladder. However, if many people acknowledge the relevance of college education and view it as a meaningful investment, others foreground the risks related to the issue and warn about the potential danger or failure. In fact, college education is often related to high earnings and better career paths and opportunities; nevertheless, some risk factors exist stemming from a potential failure, high rates loans and unstable labor market. This study reveals: “Going to college seems to be not only profitable, but also affordable given that federal student aid programs provide guaranteed loans and tuition subsidies to needy students. Nevertheless, a number of academically talented young people do not attend a postsecondary institution” (Becker). The controversy about the importance or not of college education may explain why these smart students choose not to further their studies even though the proponents of college education might advise them to believe in the investment. College education is very important because it provides graduates with better career opportunities. Compared to high school graduates or those without any degree, college graduates have a better chance to find a more fulfilling job. Their years spent in college allow them to have a better consideration in the job market, and they may land a very good job that matches their credentials and training. Indeed, college education helps to boost the chances of those who postulate for a job and give them a better impression from recruiters. This critic observes: “In most modern society today, education has become the key element in the process of social mobility. Educational qualification and the number of years completed at schools have become the most important yardstick needed for occupational attainment” (Yusuf). This connection between college education, especially the number of years spent in school, and better career opportunities has become a reality in most societies in which education is dearly valued and reflects the person’s talent, devotion and skills. These better career opportunities also lead to higher income because the best jobs provide bigger salaries. Therefore, college education gives graduates a better chance to have a high earning compared to those who do not have their qualification. This possibility to acquire more income allows college graduates to appreciate the time they spent in school because it provides them with economic freedom and stability. This economic independence makes college education resemble a sound investment that has become most profitable. This study confirms: “Education is an investment with high return. In fact, the mean return on education is similar to that of equity, and far greater than the return to bonds or gold. The high return to assets such as equity can be justified by their high risk” (Juud). Comparing college education to equity greater than gold demonstrates the value of such an education and the opportunity it represents to graduates. This financial aspect that allows people to earn enough money to take care of their expenses and need represents the first step toward achieving a total economic freedom. Analyzing the results of another study, the author exposes: “Becker then examines the social return to college education, argues that it ranges between (8 and 11 per cent,) notes that business investment has a return of “between 8 and 12 percent,” concludes that the “rates of return on business capital and college education seem, therefore, to fall within the same range” (Juud). Therefore, college education constitutes an investment worthy of the efforts because it may turn out to be much profitable. Furthermore, college education may also provide minorities with an opportunity to climb the ladders and reduce the prevailing gap between different ethnic groups. In many societies, all groups of people may not have the same advantages, and this uneven division of classes may generate much frustration from minorities who feel violated. Therefore, a college education may give these people a better chance to acquire more consideration regarding career opportunities and earnings. Referring to another critic, this author claims: “In comparison with others he finds that the average earnings of Mexican-Americans in the labor force have, in fact, been high relative to their average educational preparation. It would appear, then, that greater schooling could do a great deal to reduce the income gap between this minority and the ‘Anglos’” (Fogel). This example of Mexican-Americans is representative of all minorities, who given the chance of college education, may attain great career opportunities and, therefore, acquire high earnings. To complete his argumentation, the author reflects: “At best, less than half of the income difference between whites and nonwhites can be explained by differences in educational attainment, though this proportion would probably be somewhat higher if quality of education could be included in the analyses” (Fogel). Even though the study recognizes the existence of other factors, the author believes that higher education will provide minorities with better chances to face the challenge of inequality. On the other hand, even though other studies acknowledge the value of education, they put forward the risks that may annihilate any chances of success. These studies warn about the danger of investing in college education that may turn out to be a failure and create more problems than solutions. This critic warns: “In deciding whether to go to college, attitudes toward college life and studying, the kind of work college graduates do, and other psychic factors are relevant as well as the gain in earnings” (Becker). This author invites potential candidates at college education to take into consideration the different factors related to college and determine if they can meet the expectations and face the challenge. For him, putting forward the potential high earnings without weighing the chances of success or the feasibility of the project may lead to failure. This article exposes the deficiencies that may cause failure: “The riskiness of attending college may result from lack of knowledge about (1) individual ability, (2) the quality of each university, and (3) unanticipated changes in market conditions. The first two sources of risk cause a permanent shock on future earnings, while the third source causes a transitory shock” (Chen). In fact, these risks exist and need to be anticipated and taken seriously care of before undertaking a student loan that the candidate may not be able to pay off because of failure or dropping out. The existence of these risks makes college education a risky business that may not lead to the expectations. Moreover, the impact of college education will not only be measured on the students but also on the economy in general. Indeed, college education cannot be deemed important if it does not have any effect on the national economy. The parameters that determine such impact have to be significant in order to find out if really college education has a positive reflection on the economy. Therefore, the importance of college education cannot only be weight on the individual level, but it has to be felt in the macroeconomic aspects of the country, which is not always the case. This critic informs: “Social and private economic returns from college would differ if a college education had different effects on earnings and productivity. A student generally must only determine the effect of a college education non his earnings, but society needs to determine its effect on national income” (Becker). However, the impact of college education on the national economy is not always significant, which does not express the importance of such investment. College education represents a controversial issue that continues to divide researchers interested in the issue. Indeed, if some people recognize the importance of college education and assimilate it to a very profitable investment, others view it as a risk that may lead to failure and even a worsening of living conditions. The proponents of college education foreground the return that may consist of better career opportunities, high earnings and even a chance for minorities to improve their social status. The possibility to acquire a good job and a high income allows people to improve their living conditions, climb the social ladders, attain middle class status and, therefore, reduce social disparities. I believe that college education is very important in the sense that it allows graduates to be economically independent and enjoy better career paths. However, others question the validity of such theory and expose the risks related to the investment on college education that does not guarantee success but may lead to failure. They recommend taking a careful consideration of the conditions of college life because most of the failure stems from a lack of judgment and absence of preparedness. This controversy about college education demonstrates the complexity of the issue but also requires caution as to such a serious investment. Works Cited Becker, Gary S. “Underinvestment in College Education?” Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education. 3rd ed. The University of Chicago Press, 1994. Nber.org/books/beck94. Web. 11 Nov. 2013. Chen, Stacey H. Is Investing in College Education Risky? Citeseerx.ist.psu.edu. 2001. Web. 11 Nov. 2013. Fogel, Water. “Education and Income of Mexican-Americans in the Southwest.” Mexican- American Project. Eric.ed.gov. 1965. Web. 11 Nov. 2013. Juud, Kenneth L. Is Education as Good as God? A Portfolio Analysis of Human Capital Investment. Stanford: Hoover Institution, 2000. Web. 11 Nov. 2013. Yusuf, Noah. “Impact of Education on Social Mobility among Residents in Ilorin Metropolis.” African Research Review: An International Multi-Disciplinary Journal 3.1. (2009): 373- 87. Indexed African Journals Online. Web. 11 Nov. 2013. Read More