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At Extreme Investor Network, we bring you the latest and most valuable information in the world of personal finance. Today, we are diving into a recent report that sheds light on the changing landscape of college degree earners in the United States.
Decline in College Degree Earners
According to a recent report by the National Student Clearinghouse Research Center, the number of students earning a bachelor’s or associate degree has declined for the second year in a row. In the 2022-23 academic year, undergraduate degree earners fell nearly 3%, marking the steepest decline ever recorded. Furthermore, bachelor’s degree earners hit the lowest level in almost a decade with a one-year loss of almost 100,000 graduates.
On the other hand, the number of students earning certificates has seen a 10-year high, largely driven by the growth in vocational programs. This shift in educational attainment has significant implications for the future workforce.
The Rise of Vocational Programs
One of the key factors behind the decline in traditional four-year degree pursuits is the increasing emphasis on career training and post-college employment among high schoolers. With financial constraints and other factors at play, fewer students are opting for a four-year degree and choosing certificate programs instead.
As Doug Shapiro, the executive director of the National Student Clearinghouse Research Center, puts it, “That number of newly minted college graduates has been shrinking.”
Community College Pathway At Risk
Historically, community colleges have been seen as an economical alternative to a bachelor’s degree or a more affordable pathway to a four-year college. However, recent reports indicate that just 16% of all community college students ultimately attain a bachelor’s degree.
This shift in the educational landscape poses challenges for lower-income and disadvantaged students who have traditionally relied on community colleges as a stepping stone to higher education. President Joe Biden’s proposed expansion of free community college aims to address these challenges and make higher education more accessible.
FAFSA Issues Impact College Enrollment
Aside from shifting trends in educational attainment, ongoing issues with the Free Application for Federal Student Aid (FAFSA) are discouraging many high school seniors from applying for financial aid. The FAFSA serves as a gateway to federal aid money, including loans, work-study opportunities, and grants.
As the number of FAFSA applications remains below average, there are concerns about the impact on college enrollment in the upcoming academic year. Completing the FAFSA is a crucial step for many students in accessing financial assistance for higher education.
At Extreme Investor Network, we recognize the importance of staying informed about personal finance trends and developments. Be sure to check back for more insights and tips on navigating the ever-changing financial landscape.
