The Poor Get Richer

Educators and politicians have long argued that a college degree provided substantially more income than the high-school degree. Now that income gap is showing small signs of closing; between 2000 and 2004, the income of high school graduates rose 1.6 percent, and the income of college graduates dropped 5.2 percent. The reason is disturbing, with the changing demands of a global economy, reducing the value and security of a higher education. Because of technology, the types of jobs most likely to vanish through outsourcing don't belong to factory workers, but to college-educated employees who sit behind desks. High-school graduates have a firmer grip on their salaries because they are "driving trucks, stocking shelves and building houses" - jobs that can't be shipped overseas. In contrast, high-skilled jobs like research, development, engineering and corporate finance are being transferred to countries like India and China at a rapid rate. Researchers continue to delve into the trend reversal, but some analysts note that lower earnings for college graduates could dampen the desire for higher education. That, too, will reduce income inequality and lead to a lower general standard of living. – YaleGlobal