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Subject:  Re: Here We Go Again Date:  4/3/2013  9:06 PM
Author:  tjscott0 Number:  48765 of 84808

Until we can reverse the decline in working class opportunities and standard of living

Unfortunately that is unlikely to occur.

The number of middle income jobs wil continue to decline thru 1-technology; 2-demand combined with an 3-education bubble as large as the real estate bubble of that recently burst.


Paul Beaudry, David A. Green, and Benjamin M. Sand have a paper with an intriguing abstract, which says in part,

Many researchers have documented a strong, ongoing increase in the demand for skills in the decades leading up to 2000.
In this paper, we document a decline in that demand in the years since 2000, even as the supply of high education workers continues to grow. We go on to show that, in response to this demand reversal, high-skilled workers have moved down the occupational ladder and have begun to perform jobs traditionally performed by lower-skilled workers. This de-skilling process, in turn, results in high-skilled workers pushing low-skilled workers even further down the occupational ladder and, to some degree, out of the labor force all together.

The college degree is becoming the new high school diploma: the new minimum requirement, albeit an expensive one, for getting even the lowest-level job.

Consider the 45-person law firm of Busch, Slipakoff & Schuh here in Atlanta, a place that has seen tremendous growth in the college-educated population. Like other employers across the country, the firm hires only people with a bachelor’s degree, even for jobs that do not require college-level skills.

This prerequisite applies to everyone, including the receptionist, paralegals, administrative assistants and file clerks. Even the office “runner” — the in-house courier who, for $10 an hour, ferries documents back and forth between the courthouse and the office — went to a four-year school.

3-education bubble
A personal example. My first quarter[1969] tuition @ Ohio State University was $220/quarter or $660/year. Minimum wage jobs paid $1.60/hour.
Currently that university is on a semester system. A student taking a full load in Bus Adm pays $5,781.60/semester or $11,563.20/year*. Minimum wage jobs pay $7.25/hour. Methinks it does follow that fewer can pay those fees without taking on significant debt. And many of those will end up doing l