Yes, College Is Worth It — With Some Caveats.

The debate over, "is college worth it", will likely not fade from the headlines any time soon as the unemployment rate stays stubbornly high and statistics come out about the continued rise in college debt and costs.

It has been well documents that people with a college degree make more than those without.  However, not all college degrees are created equal.  Some degrees pay more than other, while other can make you more employable.

We have argued at DWCM that the college education process needs to be looked at with what your ROI (return on investment) would be rather than simply making an emotional decision which could affect the rest of your life.

Needless to say, this WSJ article highlights the work of Jonathan James, an economist at the Cleveland Fed, who helps to break down the data.

• Back in the 1970s, Americans who’d attended college but didn’t receive a degree earned about 15% more than those with just a high school diploma. For college graduates, the wage premium was about 40%. Three decades later, the premium for college graduates has shot up to more than 80%. For those with just “some college” (but no degree), the premium has stayed relatively stagnant, rising to just about 20%.
• That “college graduates” category is still pretty broad, though, so Mr. James takes the next step, splitting out those with advanced degrees. For workers with just a bachelor’s degree, the wage premium over high-school graduates has risen from a bit over 30% in 1977 to more than 60% in 2010. But interestingly, the premium hasn’t grown significantly over the past decade. These days, really getting ahead requires an advanced degree, which boosts earnings some 30% versus having a bachelor’s degree (and by a whopping 120% versus having just a high school diploma).