Friday FYI: Your College Tuition Was Well Spent
Congrats Class of 2012! (And recent and not-so recent grads) Got the student loan blues? According to a study published in the Journal of Economic Perspectives, the annoying student loans you pay off every month are well worth it. The amount college graduates earn over time in comparison to people who only hold a high school degree has nearly doubled in the past three decades. Unlike credit card debt, your student loans are good debt and a wise investment.
There are countless stories in the media about the “student loan bubble” suggesting that the value of a college education is decreasing, while the cost of education is increasing.
The researchers, Christopher Avery of Harvard University and Sarah Turner of the University of Virginia, state, “Even if macroeconomic shocks were to erode the higher education earnings premium to levels not seen in three decades, collegiate attainment would remain a good investment for students. Given the relatively slow rate of growth in the supply of college graduates in recent decades and modest projections for further increases in the coming decades, it is highly unlikely that the economy will experience a demand shock that will have a substantial adverse impact on the wages of college graduates.”
College’s Benefits: Signalling Theory and Brunch Buddies
In addition to higher earning potential, your college education and experience has introduced you to an invaluable network of alumni that are an excellent resource for career opportunities and professional mentorship. Just graduate and don’t have a job lined up? Check out your alma mater’s local alumni chapter. Alumni love to network and help out others who share a similar educational experience. Also, if you are on the post-college job hunt or career “dating” for a better fit, check out Levo League’s fabulous job postings here. Hey, maybe you’ll even find “the one.”
Facebook’s IPO: Record Highs
Talk about timing: Facebook’s IPO is happening today (momentarily, actually), with what will probably be a valuation of $104 billion. According to the Wall Street Journal, this is the biggest-ever valuation by an American company at the time of its offering. This is in light of a markup earlier this week in IPO stock price from $28-35 to $34 to $38.
Is it a good investment? We haven’t done the math. But you can track the changes in the price of Facebook’s stock throughout the day, courtesy of GigaOm. Check it out here.