Biden New Grade - President Joe Biden on Wednesday praised the nation's K-12 education system for fueling America's economic growth for nearly a century. But, he emphasized, this system may no longer be sufficient as a basis for future prosperity.
Mr. Biden's American Family Plan addresses a problem that economists and millions of families are struggling to survive financially: A high school diploma is no longer enough to lead a middle-class life. Under the White House proposal, the country's K-12 system would be expanded at both ends -- from free pre-kindergarten to "14th grade", funding two years of pre-kindergarten and two years of free adult education. - high school.
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There is a lot of economic research that links high school graduation rates in the 20th century to faster economic growth in the US. For example, broader education made it easier for women to enter the workforce and enabled men to move from agricultural occupations to higher-paying manufacturing and clerical jobs. By 1980, nearly 9 out of 10 Americans in their late 20s had at least a high school diploma.
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But in recent years, the value of a high school diploma has declined, with Pew Research finding that the average high school graduate's income fell by nearly 10% between the mid-1960s and the mid-2010s.
In contrast, college graduates have seen earnings gains in recent years, resulting in an ever-widening income gap between college graduates and high school graduates. The COVID-19 crisis only exacerbated these disparities, with college-educated workers recovering quickly as the economy recovered during the pandemic, while workers with little education lost out.
"We know it's almost impossible to get a good job with just a high school diploma," Arne Duncan, Secretary of Education under Barack Obama, said during a call with reporters Wednesday to discuss Mr. Biden's plan. “That has to be a starting point. Some form of education beyond high school—a two-year degree, vocational training—must be the norm.”
Many families and students are likely to be against them, as almost two-thirds of people over the age of 25 do not have a university degree. And half of Americans between the ages of 13 and 29 believe that a high school diploma is enough to set them up for a good career, despite all the evidence to the contrary.
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High school seniors fall behind in part because of something called "degree inflation," or when employers require a college degree for a job even though the job doesn't require one. That's affecting jobs from administrative assistants to manufacturing jobs, and about 40% of factory jobs now require a college degree, double what they did in the early 1990s.
According to Mr. Biden, it is not only competition from college-educated workers from the US that is pushing out high school graduates, but also advances from other nations.
“The world is caught or caught. They don't wait," the president said in his Wednesday address to Congress. "Twelve years is no longer enough to compete with the rest of the world in the 21st century."
The pandemic has hit millions of workers, but especially those without a college degree. Because they typically work in low-paying jobs that can't be done remotely - such as in restaurants, childcare or retail - these workers have suffered more job losses than college graduates, and many of them could switch to remote work.
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High school seniors have been slower to return to work as the pandemic continues, a so-called K-shaped recovery, with two sets of workers moving in opposite directions. For less educated workers, the economy is still in the middle of the mud, and third-level workers have largely regained their footing.
According to government data, nearly half of the elderly in the United States are now unemployed. About 55% of adults over 25 with college degrees were working in March, compared to 59% before the pandemic and about two-thirds in the late 1990s. By comparison, about 7 out of 10 college graduates are employed, which is about where it was before the pandemic.
Adding two years of free community college to the nation's education system "will preserve high-paying jobs in this country," Duncan said, adding that when people are excluded from economic gains, "it's not just an economic loss, I see head.” real sense."
According to a Goldman Sachs analysis, the cost to taxpayers of providing two years of free education after high school would be about $109 billion over a decade.
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The rest of Mr. Biden's plan calls for a public investment to fund two years of preschool education. Through partnerships with states, the country's 3- and 4-year-olds would have access to free, high-quality preschool. That would affect 5 million children, according to the White House, and save the average family $13,000 in child care and related family costs.
Research shows that investing in Pre-K leads to better educational, employment and income prospects for individuals. A well-known study by University of Chicago Nobel Prize winner James Heckman found that low-income children who attended preschool were more likely to finish high school without suspension and were more likely to be employed full-time or self employed.
Providing free Pre-K will also help parents, especially mothers, get back into the labor market after millions have dropped out due to the demands of distance learning and the pressures of the pandemic, experts say. About 6.2 million people said they were not working in March because of distance learning or the need to care for children outside of school, according to census data.
The cost to the taxpayer of Mr. Biden's Pre-K plan would be $200 billion over 10 years, according to Goldman Sachs. But that money would be "very well spent," Dean Baker, senior economist at the Center for Economic and Policy Research, told reporters Wednesday. "More of the children will find a decent job."
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