e-Literate

Present is Prologue

Tag: bubble

  • Postscript to “This Time Is Different: Enrollment and Employment Divergence”

    In a post two days ago, I showed US data comparing enrollment and employment trends. The salient feature of the data that I called out was the significant divergence of the two trend lines since 2006.

    When you look at the data from 1970 – 2012, the results could explain some significant pressures experienced by higher education institutions. In a nutshell – this time is different, we are in uncharted territory.

    There are two related comments that I would like to address, both of which ask the question of whether the mix of full-time vs. part-time enrollment explains part of the divergence noted.

    The first (excerpted) comment is from Thomas Warger under the original post:

    I have to wonder how much of the gap you show here can be attributed to the increased availability of pay-as-you-go higher education–opportunities to take a few credits at a time at a community college or an online provider? Does “normalized for 1980″ factor for this relatively new phenomenon?

    The second comment is from Stephen Downes in his OLDaily blog:

    I don’t agree with the proposition that “this time it’s different.” Here’s what Phil Hill writes: “The conventional wisdom holds that enrollment jumps when employment drops, and the data does show some divergence followed a few years later by a correction. What is different this time is A) the magnitude of the divergence and B) the start of the divergence fully two years before the recession started in 2008.” I think the apparent spike in enrollments is created by a lot of part-time and online learning, and that it is a bit illusory. It’s also caused by echo-boom effects, as the population born between 1982-1995 is in post-secondary education between 2002-1015, give or take. If (and it’s a big if) employment improves, I would expect a dramatic drop in (traditional) enrollment.

    What’s really different is that world population is reaching a breaking point, climate change is disrupting food supplies and other industry, resource depletion has become a significant problem, and (by contrast) worldwide prosperity, literacy and general awareness has led to an increasingly restive global population. There is moreover a chronic economic imbalance, with increasingly large quantities of wealth simply being hoarded instead of invested (it’s an amount that if deployed would makemoney itself meaningless). U.S. demographic trends – which could be rendered obsolete with one major wave of immigration – are irrelevant in the face of these wider forcess.

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  • This Time Is Different: US Enrollment and Employment Divergence

    When looking at long-term trends for higher education, it is useful to step back and look at the big picture. With this goal in mind, consider the comparison of post-secondary enrollment in degree-granting programs to the total number of jobs (both based on the US). The enrollment data is based on the National Center of Education Statistics (NCES) and the employment data is based on the Bureau of Labor Statistics and its Current Population Survey (CPS). To get the big picture I decided to keep this simple – combining full-time and part-time enrollment, and combining full-time and part-time employment. To see the trends, I normalized both data series to 1980.

    When you look at the data from 1970 – 2012, the results could explain some significant pressures experienced by higher education institutions. In a nutshell – this time is different, we are in uncharted territory.

    (more…)