Is An Online Master’s Degree Worth The Money?
TLDRThe U.S. faces high unemployment with over 15 million filing for unemployment insurance during the pandemic. Many are considering returning to school, a common response to recessions, despite the changed landscape of education due to COVID-19. While graduate degrees can lead to higher earnings and less economic impact from crises, the shift to online education raises questions about its value and cost-effectiveness. Nontraditional online learning pathways may disrupt the education system if employers begin to value them as much as traditional degrees.
Takeaways
- 📉 The U.S. unemployment rate is at 7.9% with over 15 million Americans filing for unemployment insurance since the pandemic began.
- 🏫 During the 2008 financial crisis, many Americans went back to school; the pandemic has similarly increased interest in education, but with altered student experiences.
- 💰 The College Board estimates that master's programs cost about $19,570 per year at public universities and $43,380 at private universities, with some institutions like Georgetown charging over $80,000 per year.
- 📈 Opportunity cost is a crucial factor in deciding to pursue higher education, especially during a recession when job opportunities are scarce.
- 📚 Historically, college enrollment increases during recessions; however, the pandemic has disrupted traditional schooling, affecting undergraduate enrollment negatively while boosting graduate school enrollment.
- 🎓 Workers with graduate degrees often outearn those with only a high school diploma, and advanced degree holders have been less impacted by the pandemic's economic fallout.
- 🌐 The shift to online education during the pandemic has not reduced costs for universities or students, as building and maintaining online platforms is expensive.
- 🤔 Students are questioning the value of their investment in graduate education, especially considering the changed experience of online learning compared to in-person interactions.
- 💼 Employers' acceptance of online advanced degrees could significantly impact the value of traditional graduate education and potentially disrupt the educational market.
- 📊 Companies like Google and Amazon are creating their own certification programs, suggesting a possible shift towards nontraditional learning pathways being valued in the job market.
Q & A
What is the current U.S. unemployment rate mentioned in the transcript?
-The current U.S. unemployment rate mentioned in the transcript is 7.9%.
How many Americans have filed for unemployment insurance since the pandemic began?
-Over 15 million Americans have filed for unemployment insurance since the pandemic began.
What was the cost of a master's program at public and private universities according to The College Board estimates?
-The College Board estimates that a master's program costs about $19,570 per year at public universities and $43,380 per year at private universities.
What is the opportunity cost in the context of going to college?
-In the context of going to college, the opportunity cost is what you would have earned on your job if you had been working instead of going to school.
How did the number of college students in the United States change between 2007 and 2011?
-Between 2007 and 2011, the number of college students in the United States increased by roughly 14%, from 17,956,000 to over 20 million.
What are the two countervailing forces affecting students' decisions to go to college during the pandemic?
-The two countervailing forces are the bad economy, which makes it a good time to go back to school, and the pandemic, which has disrupted how schooling is provided.
How has the pandemic affected undergraduate and graduate school enrollment?
-Undergraduate college enrollment is down 2.5%, while enrollment in master's programs has increased by 6% and enrollment in post-baccalaureate certificates has increased by 24% since 2019.
What are the average weekly earnings for workers with a high school diploma, college degree, and master's degree?
-Workers with a high school diploma earn around $746 per week on average, college graduates earn closer to $1,248 per week, and workers with master's degrees earn nearly $1,500 per week.
How has the pandemic impacted highly educated workers compared to others?
-Highly educated workers are significantly less likely to have lost health insurance or struggled paying bills since the pandemic began, and the unemployment rate is two times higher for high school graduates than for those with a master's degree.
What are the concerns students have about the value of their education during the pandemic?
-Students are concerned about whether they are getting the same value for their money spent on education, as the online experience is different from in-person, and they are not using facilities like classrooms.
What factors determine if an online master's degree is worth the expensive price tag?
-Factors such as the quality of online classes, technical support, networking opportunities, and how employers view online advanced degrees determine if an online master's degree is worth the cost.
How might nontraditional online learning pathways like Coursera, ADEX, and Khan Academy impact the traditional education system?
-If companies begin to value these nontraditional online learning pathways as much as traditional graduate degrees, the whole education system could be turned upside down, potentially disrupting the market for formal education.
Outlines
📉 Economic Downturn and the Shift in Education
The script begins by highlighting the current U.S. unemployment rate and the significant number of Americans filing for unemployment insurance due to the pandemic. It discusses the historical trend of people returning to education during economic recessions, emphasizing the concept of opportunity cost. The cost of obtaining a graduate degree is outlined, with public universities charging around $19,570 per year and private universities charging $43,380. The script explores whether an online master's degree is worth the investment, considering the economic benefits of having a graduate degree, such as higher average earnings and lower unemployment rates. It also touches on the changes in the student experience due to the pandemic, with undergraduate enrollment dropping and graduate school enrollment booming.
🎓 Value of Online Education During the Pandemic
This paragraph delves into the challenges and considerations of pursuing higher education during the pandemic, particularly focusing on the shift to online learning. Students are questioning the value they receive for their investment, as the online experience lacks the collaborative and interactive nature of in-person education. The costs of online education are also discussed, with the script noting that universities have not significantly reduced costs for graduate students. It highlights the importance of online class quality, technical support, and networking opportunities in determining the worth of an online master's degree. The paragraph concludes with a discussion on the potential disruption of the traditional education system by nontraditional online learning pathways, such as those offered by Coursera, ADEX, and Khan Academy, and the possibility of these credentials being valued by employers in the future.
Mindmap
Keywords
💡Unemployment rate
💡Unemployment insurance
💡Economic recession
💡Opportunity cost
💡Graduate degree
💡Online education
💡Cost of education
💡Enrollment
💡Advanced degrees
💡Nontraditional online learning pathways
💡Employer acceptance
Highlights
The U.S. unemployment rate is at 7.9% with over 15 million Americans filing for unemployment insurance since the pandemic began.
The economic recession's end is still unclear, adding to the uncertainty faced by many Americans.
During the 2008 financial crisis, many Americans went back to school; however, the coronavirus pandemic has changed the student experience significantly.
The College Board estimates that master's program costs are around $19,570 per year at public universities and $43,380 at private universities.
Georgetown University charges over $80,000 per year for a master's program, raising questions about the value of such expensive education.
Opportunity cost is a key concept in Economics 101, and it's crucial to consider when deciding to pursue higher education during a recession.
In 2007, there were about 17.9 million college students in the U.S., which increased by 14% to over 20 million by 2011.
Undergraduate college enrollment has dropped by 2.5% due to the pandemic, affecting low-income, community college, and international students.
Graduate school enrollment is booming, with master's programs seeing a 6% increase and post-baccalaureate certificates increasing by 24% since 2019.
Workers with graduate degrees often outearn those with only a high school diploma by around $700 per week on average.
Highly educated workers have been less impacted by the economic fallout caused by the pandemic, with lower rates of health insurance loss and bill struggles.
The unemployment rate is two times higher for high school graduates than for those with a master's degree.
The experience of earning a master's degree has changed dramatically, with many programs shifting online and affecting the value students perceive they receive.
Few schools have reduced costs for graduate students since the pandemic, leading current students to question the value for money spent.
Online education is not necessarily cheaper to provide, as building software, developing online curriculum, and expanding tech support can be costly.
Employers' views on online advanced degrees will be a significant factor in determining whether they hold the same weight as traditional degrees.
Online providers like Coursera, ADEX, and Khan Academy offer courses, certificates, and credentials for little or no cost, potentially disrupting the traditional education market.
Companies like Google and Amazon are creating their own certification programs and assessments, which could shift the value placed on formal education.
Transcripts
5.0 / 5 (0 votes)
Thanks for rating: