The Value Proposition of College, Graduate Degrees

As a college professor 22 years ago, I co-authored some papers with Dr. Richard Whiteside, who was Dean of Tulane University Admissions. Our articles were published in a few peer-reviewed journals and top higher education publications such as Educause and Journal of College Admission. ^[i]

Our papers are considered some of the earliest research to explore the use of the internet to recruit and promote colleges, universities, and business schools, as well as to attract students from across the globe. ^[ii]

Fast forward to today, and there are almost 4,000 ^[iii] colleges and universities in the United States, including around 1,000 business schools. ^[iv] The landscape is evolving, and we are at a critical juncture. Top-tier colleges, universities, law schools, and medical schools continue to enjoy significant advantages in recruitment and return on investment.

However, as tuition costs rise, it has become clear that attending a prestigious institution is no longer a straightforward decision. For example, some colleges in Boston charge tuition fees between $80,000 and $100,000 per year. In contrast, many excellent state schools can provide an equally valuable education for roughly $30,000 per year.

Additionally, some local colleges offer lower tuition costs, making them an even more affordable option. In a Newsmax article that I published 5 years ago, I researched several colleges that have free tuition and are free “wholly online” colleges or universities. ^[v] Furthermore, President Trump continues to “promote the plan” of creating a free online government university for working families and people who can’t afford college which could also cut the future federal debt by reducing defaulting student loans. ^[vi]

Several of my past articles have highlighted the return on investment in higher education. ^[vii] A student spending about $50,000 a year for a four-year degree may accumulate at least $200,000 in debt, which could increase substantially with graduate school expenses, ranging from $100,000 to $300,000.

I've met physicians who are burdened with college & medical school debts exceeding $400,000. The question remains: If you graduate with a generalized degree, will you be able to out-earn others who are entering the workforce without the debt?

In the papers that I co-published with Dr. Whiteside, we discussed the clear earning advantage of holding a college degree or a master's degree over the course of a lifetime and career. ^[viii]

Today, however, students must focus on careers and fields that are less susceptible to outsourcing. As I often tell my students, pursuing a trade such as plumbing or electrical work is a strong option for job security. Consider that over 1 MILLION engineers graduate each year in India ^[ix], and over 750 million people worldwide aspire to move to the United States. ^[x] With 96% of the global population living outside the U.S., it’s clear that competition for jobs and education is intensifying.

Furthermore, there are exceptional colleges and universities around the world, many of which offer valuable programs in English. The rise of online education has made it even easier for students to earn degrees from prestigious institutions without leaving home. ^[xi]

Returning to the original theme, if you're accepted into a well-regarded college and offered financial aid, it could be a wise decision to attend. A friend’s son, for instance, was accepted into two great colleges: one private and one public.

The private university offered a 50% scholarship, but after factoring in the scholarship, the total cost of attending the public university was comparable to the private one. In the end, the student chose the public university.

If I were advising students on their college education—whether undergraduate, law school, or MBA programs—I would encourage them to carefully evaluate the costs and the potential for financial aid. Additionally, students should consider the location and associated travel costs of attending a specific program.

If your goal is to enter the finance world, it might be worth attending a school near a financial center for networking purposes. Similarly, if you want to work in technology, you should focus on schools in areas with thriving tech industries, such as Silicon Valley.

Factors like location, climate, employability in the area, and the opportunity to meet interesting people should also play a role in your decision-making process. Most importantly, you should choose a program that makes you feel passionate and alive. Many experts today recommend a reverse-engineering approach to choosing a college and a field of study.

For example, if you love music or communications, you might want to consider a school like Loyola University, where I studied, as New Orleans is a hub for music and historical Jazz culture. Further, many colleges have a better grade curve and inflation than others. Thus, be aware of the average GPA of a college, law school or MBA program. ^[xii]

It is also important to research potential job outcomes for various majors. For instance, an MBA might offer a better return on investment than a law degree if you don’t plan to work in a field that requires a law license. Today, the main reason many people pursue law degrees is for the stability and benefits of working in government.

Medical and law schools also vary significantly in cost. While some private medical and law schools can be prohibitively expensive, public universities often offer programs that cost less than half as much. These considerations are critical when deciding on a path forward, and I recommend discussing these options with a financial advisor, your parents, or your children.

As an e-learning pioneer in legal and business education, I have taught and designed over 300 courses for accredited law and business schools. I encourage everyone to consider online education programs that offer degrees from well-ranked universities.

Additionally, in 2020, President Trump signed an executive order ensuring that skills, certifications, and qualifications would be treated equally to traditional degrees when hiring for federal jobs. This means that specialized certifications could give job candidates an edge over those with general degrees.

Even today, I teach as a law faculty member and online professor for one of the top ranked law schools in the USA, Texas A&M Law School. Speaking from experience, as soon as your program is in the top 25 in the USA, the applications and competition for admissions goes up dramatically. However, I teach for the LLM and Masters of Laws programs, and we can accept students from California to New York without a student having to live on site. This type of option was not available 30 years ago, but with technology and learning platforms, this type of educational opportunity is open to all qualified applicants.

With the increasing availability of free online courses, including Massive Open Online Courses (MOOCs), everyone should take advantage of these opportunities to earn attendance certificates or other qualifications. Be sure to investigate whether these programs can count toward college credit, as this could impact your decision-making.

Finally, many top universities or even law schools in the U.S. also offer affordable nighttime courses or “city college” programs, which provide a general degree at a fraction of the cost. ^[xiii]

With the new accreditation standards being implemented across the country, we may see a rise in new accreditation agencies recognizing tax-paying universities that do not benefit from tax loopholes. There is also growing support for private education systems that pay taxes to contribute to local, state, and federal operations.

Unless you are pursuing a career as a doctor, CPA, lawyer, nurse, engineer, architect, or another licensed professional, you might want to consider specializing in diplomas or trade skill licensing education rather than spending 4-5 years for a traditional college degree.

While obtaining college degrees and graduate school qualifications is necessary for professions like medicine, law, accounting, and architecture, it’s also important to explore the thousands of career opportunities available in city, state, and federal government. These public sector roles often provide excellent pay, benefits, and pension programs, but knowing the specific qualifications and requirements for these positions is key to securing a stable and rewarding career.

For many years, I volunteered as an economist for the U.S. Department of Labor, helping to create content on their websites about careers, jobs, and employment, and I can attest to the wealth of opportunities in public service. Focusing on careers that can't be easily outsourced or that offer unique, non-replicable services can ensure long-term job security and success.

Furthermore, I have recently served the White House as Commissioner for the PSP Presidential Scholars Programs, where I had the privilege of acting as both a judge and a commissioner, evaluating the top resumes from high school students across the nation to award the Presidential Medals.

The best resumes typically feature a 4.0 GPA or higher, academic awards, extensive volunteer service or part-time jobs, proficiency in a foreign language, and a demonstrated ability to excel in sports, acting, martial arts, or music.

Some students impressively complete 5-10 Advanced Placement (AP) exams, and several resumes even showcase enough credits at high school graduation to earn an associate degree. These achievements highlight not only academic excellence but also an extraordinary level of dedication, drive, and ambition. Overall, if you have this type of resume, you will have access to many brand name schools and admissions as long as colleges are fair to all applicants. ^[xiv]

As a further secret strategy, many of colleges around the USA offer abroad programs where you can take courses under the college banner in other nations such as South America, Europe, India, Asia or Arabia. Some ambitious students even rack up 9 or more credits attending abroad programs before their freshman year begins. Keep in mind, these abroad programs are many times less expensive that attending local courses. ^[xv]

In conclusion, the evolving landscape of higher education requires careful consideration of costs, career prospects, and personal interests. It’s more important than ever for students to make informed decisions about their educational paths, taking into account both short-term expenses and long-term benefits.

Value Proposition Statistics:

Statistics related to the value proposition of paying for a college degree and its return on investment (ROI):

Higher Earnings Potential:
According to the U.S. Bureau of Labor Statistics (BLS), individuals with a bachelor's degree earn, on average, 67% more per week than those with only a high school diploma. In 2021, the median weekly earnings for bachelor's degree holders were $1,305, compared to $780 for high school graduates.
- Source: U.S. Bureau of Labor Statistics, Median weekly earnings of full-time wage and salary workers by educational attainment, 2021 (BLS)
Lifetime Earnings:
The College Board reports that individuals with a bachelor's degree earn approximately $1 million more over their lifetime compared to high school graduates. This long-term earning advantage significantly justifies the investment in a degree, especially when factoring in the increasing cost of education.
- Source: College Board, Education Pays 2020 (College Board)
Employment Rates:
In 2020, the U.S. Bureau of Labor Statistics found that the unemployment rate for individuals with a bachelor’s degree was 5.5%, compared to 9.0% for high school graduates. Higher education tends to provide more job stability, particularly during economic downturns.
- Source: U.S. Bureau of Labor Statistics, Labor Force Statistics from the Current Population Survey (BLS)
Debt vs. Earnings:
A report by the Brookings Institution highlights that while student loan debt has risen significantly, the earnings boost from a bachelor's degree tends to outweigh the cost of borrowing. On average, those with a bachelor’s degree have a net ROI of 15% after accounting for student loan debt.
- Source: Brookings Institution, The College Debt Crisis and the Case for College (Brookings)

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Commissioner George Mentz JD MBA CILS CWM® is the first in the USA to rank as a Top 50 Influencer & Thought Leader in: Management, PM, HR, FinTech, Wealth Management, and B2B according to Onalytica.com and Thinkers360.com. George Mentz JD MBA CILS is a CWM Chartered Wealth Manager ®, global speaker - educator, tax-economist, international lawyer and CEO of the GAFM Global Academy of Finance & Management ®. The GAFM is a EU accredited graduate body that trains and certifies professionals in 150+ nations under standards of the: US Dept of Education, ACBSP, ISO 21001, ISO 991, ISO 29993, QAHE, ECLBS, and ISO 29990 standards. Mentz is also an award-winning author and award winning graduate law professor of wealth management of one of the top 30 ranked law schools in the USA.Mentzenborg is just a term of art to describe the theory and process by George Mentz JD MBA ChE. CWM is for Chartered Wealth Manager ® and ChE Chartered Economist ® is a credential for economics professionals

^[i] ERIC - EJ678949 - Online Admissions and Internet Recruiting: An Anatomy of Search Engine Placement., Educause Quarterly, 2003 by Mentz Whiteside

^[ii] Online Admissions and Internet Recruiting – G. Mentz JD MBA – Dean Whiteside, 2003

^[iii] How Many Universities Are in the U.S. and Why That Number Is Changing

^[iv] List of business schools in the United States - Wikipedia

^[v] College Education for Free ? – 2020 Campaign and Online Education Facts and Economics | Newsmax.com

^[vi] Trump to Empower Middle Class via Online Education | Newsmax.com

^[vii] Is a College Degree Worth It in 2024? | Pew Research Center

^[viii] The ROI of an MBA: Is the Degree Worth It? | HBS Online

^[ix] Pursuing engineering once a fad, now a dilemma: Only 10 percent of 15 lakh graduates likely to land jobs this year - The Times of India

^[x] Another 750M Migrants Ready to Move to the USA | Newsmax.com

^[xi] George Mentz: The Fall of Taxpaying Universities & the Rise of Online Courses | Newsmax.com

^[xii] College Grades Have Been Inflated by 13% | Newsmax.com