Measuring the “Intangibles” of A College Education
By Naomi Sheehan
“The value of a college education is often presented in purely monetary terms, probably because On average, Americans with bachelor’s degrees earn $32,000 more a year than high school graduates who’ve never been to college. That’s a 134 percent difference. Lifetime earnings are upwards of $625,000 more!
As substantial as that is, attending college results in more than just a higher paycheck. Like what?
Try a longer life expectancy, for one. Life expectancy at age 25 for someone with at least some college is estimated at seven years longer than that of their high school diploma-earning peer.
“It’s not just the money: The benefits of college education to individuals and society,” a Fall 2015 issue paper from the Lumina Foundation, attempts to quantify the less frequently touted rewards of going to college. These benefits are harder to measure, but can make a big difference in life, both on the personal and social level.
The report, produced for the Foundation by the Center and School of Economics at the University of Maine, found nearly every measure of personal well-being, societal benefit, and civic engagement improved with educational level.
Bachelor’s degree holders vs. high school grads
Americans who go to college suffer fewer health problems, are more engaged in their communities, pay more in taxes and depend less on government spending, and are far less likely to live in poverty. Even happier marriages seemed to correlate with higher degrees.
Compared to those with only a high school diploma, Americans with bachelor’s degrees are:
24% more likely to be employed
74% less likely to be out of the labor force (neither working nor looking for work)
47% more likely to have employer-paid health insurance
44% more likely to report “very good” or “excellent” health
72% more likely to have a retirement plan, with retirement income 2.4 times higher than high school grads
4.9 times less likely to be in prison or jail
21% more likely to be married and 61% less likely to be divorced
Better health
Better educated people make better-informed lifestyle choices and are less likely to suffer from chronic health problems.
Among other things, the Foundation found that “the likelihood of being a regular smoker is 3.9 times lower. The incidence of obesity and heavy drinking are significantly lower. The likelihood of exercising, having a healthy diet, wearing seat belts and seeking preventative medical care are significantly higher.” The incidence of a disability that would make it difficult to live independently is also 3.6 times lower.
Those who attended college for any length of time can expect to live to somewhere in the neighborhood of 81.6 years old. In comparison, a high school grad or someone who never finished high school have an average life expectancy of 74.6 years.
Bigger social contribution
Beyond the personal benefits, education has a ripple effect on society. Lifetime taxes are conservatively estimated to be $273,000 more, or 215 percent greater, from college degree-holders compared to high school grads. Additionally, lower rates of poverty, joblessness, crime, and disability free up government resources to help others.
In other words, higher education translates both into higher wages – and thus more money paid into the tax system – and also less money taken out of that system via public assistance programs.
College educated citizens are also far more likely to donate to charity, volunteer, and get involved in neighborhood and local school groups. They’re also more likely to vote in local elections.
Education fights crime
Crime is one of the most complicated but intriguing pieces of this social puzzle. Drawing on a 2004 study, researchers note for every 100,000 bachelor’s degrees earned, it’s estimated that “every year there are four fewer murders, 406 fewer assaults and 648 fewer property crimes.”
With 51.2 million working-age Americans holding at least a bachelor’s degree, an extrapolation of 2012 federal data suggests there were 2,050 fewer murders that year!
According to the Bureau of Justice Statistics, the incarceration rate for high school dropouts is a staggering 4 percent. In comparison, less than half of one percent of the college-educated population is behind bars.
That translates into millions of dollars saved in incarceration costs.
The noble role of higher ed
The researchers caution that these statistics imperfectly measure the benefits of college education. Beyond this data are “numerous vitally important effects that are almost impossible to quantify.”
“In its purest form, traditional college education teaches critical thinking, self-examination and open-mindedness,” the report concludes. This stimulates creativity, innovation, compassion and tolerance for others. “Simply put, college education improves the society in which we live.”
Source: https://luminafoundation.org/files/resources/its-not-just-the-money.pdf
