- Mar 11, 2000
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Well, maybe this is not a big surprise, but here is yet another study (in Canada) that shows a degree in fine arts isn't going to get you very far, at least on average.
http://www.theglobeandmail.com/glob...ycheque-at-the-end-of-it-all/article14009348/
This question is the missing piece in all the efforts to help young people become more financially literate. Sure, talk to them about budgeting, smart and stupid spending and the toxicity of credit cards in the hands of people with no jobs. But then ask them what kind of job prospects and salary they expect to have after completing their chosen course of study.
A recent report from CIBC World Markets takes an unusually direct approach to answering these questions, and the results are just dismal for almost half of recent graduates. These are the young adults who study psychology, humanities, social sciences and education. The report, using the most recent Statistics Canada data available, shows that many people in these disciplines earn less than the median income in Canada, which is just under $30,000.
With tuition costs rising more than inflation on a regular basis, there’s been talk in recent years about whether a postsecondary education is worth the cost. CIBC finds the unemployment rate for graduates to be 1.7 percentage points below those who have only a high school education, but that’s down from a little over three percentage points in the 1990s.
In consulting Statscan data, CIBC found that a bachelor’s degree gets you an average earnings premium of more than 30 per cent over a high school graduate. Yet after-inflation weekly wages for high school and college grads grew at a rate of 13 per cent over the previous decade, compared with just 8 per cent for holders of bachelor degrees.
The easy conclusion here is that a university education isn’t worth what it used to be. But that’s only true of certain degrees. In fields such as engineering, computer science, commerce and health, graduates are benefiting from huge earnings premiums over high school grads.
In any given year, an engineering grad can expect to earn 117 per cent more than a high school grad on average, while grads in math, computer and physical sciences make 86 per cent more. Fine- and applied-arts students make 12 per cent less, while grads in humanities and social sciences make 23 and 38 per cent more, respectively.
For the graph, lower is better, as it shows the percentage of grads in each field who earn less than the median income.
http://www.theglobeandmail.com/glob...ycheque-at-the-end-of-it-all/article14009348/
This question is the missing piece in all the efforts to help young people become more financially literate. Sure, talk to them about budgeting, smart and stupid spending and the toxicity of credit cards in the hands of people with no jobs. But then ask them what kind of job prospects and salary they expect to have after completing their chosen course of study.
A recent report from CIBC World Markets takes an unusually direct approach to answering these questions, and the results are just dismal for almost half of recent graduates. These are the young adults who study psychology, humanities, social sciences and education. The report, using the most recent Statistics Canada data available, shows that many people in these disciplines earn less than the median income in Canada, which is just under $30,000.
With tuition costs rising more than inflation on a regular basis, there’s been talk in recent years about whether a postsecondary education is worth the cost. CIBC finds the unemployment rate for graduates to be 1.7 percentage points below those who have only a high school education, but that’s down from a little over three percentage points in the 1990s.
In consulting Statscan data, CIBC found that a bachelor’s degree gets you an average earnings premium of more than 30 per cent over a high school graduate. Yet after-inflation weekly wages for high school and college grads grew at a rate of 13 per cent over the previous decade, compared with just 8 per cent for holders of bachelor degrees.
The easy conclusion here is that a university education isn’t worth what it used to be. But that’s only true of certain degrees. In fields such as engineering, computer science, commerce and health, graduates are benefiting from huge earnings premiums over high school grads.
In any given year, an engineering grad can expect to earn 117 per cent more than a high school grad on average, while grads in math, computer and physical sciences make 86 per cent more. Fine- and applied-arts students make 12 per cent less, while grads in humanities and social sciences make 23 and 38 per cent more, respectively.

For the graph, lower is better, as it shows the percentage of grads in each field who earn less than the median income.