Investment Payoff: The Benefits of a Higher Education in the Midwestern States

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Investment PayoffThe Benefits of a Higher
Education in the Midwestern States

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U.S. Higher Education

• Historical purpose(s) of higher education
• Influential public policies
• GI Bill
• Higher Education Act 1965
• Consumption culture
• Tensions in the 21st century

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The (Traditional)Benefits of a Higher Education
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Remaining Competitive in an Increasingly Flat
World

• Critical public benefit(s) in the 21st century
• Global competitiveness
• U.S. quality of life/standard of living
• U.S. higher education in a global context
• 13th in affordability
• 4th in accessibility

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The Midwests Educational Attainment Landscape

• In the majority of Midwestern states, the largest
  proportion of the adult population reports a high
  school diploma as their highest educational level
  attained.
• Half of the Midwestern states are at or above the
  national average (18) in terms of percentage of
  their adult population with an earned bachelors
  degree as their highest education level achieved.
  

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Continued

• Almost all of the Midwestern states have a larger
  proportion of their adult population with less
  than a high school degree than the proportion
  with an advanced degree.
• Minnesota, Kansas and Missouri have a larger
  proportion of their adult population holding an
  advanced degree than the other Midwestern states.
  

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Private Economic BenefitsPersonal Income

• There is a stepwise increase in average salary as
  educational attainment increases for residents in
  all of the Midwestern states.
• The average income of adults is above the
  national average at all educational attainment
  levels in Minnesota.
• The average income of adults with a high school
  diploma is above the national average in Iowa,
  Illinois, Indiana, Kansas, Minnesota, Nebraska
  and Wisconsin.

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Continued

• The average income of adults with some college is
  above the national average (32,470) in Illinois,
  Michigan, Minnesota, Nebraska and Ohio.
• The average income of adults with a bachelors
  degree is above the national average (48,417) in
  Minnesota.
• The average income of adults with an advanced
  degree is above the national average in Illinois,
  Michigan, Minnesota and Ohio.

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Private Economic BenefitsUnemployment

• Michigan has the highest unemployment rate in the
  region for adults with less than a high school
  education (20.3) and for those who have a high
  school diploma (10.1).
• Iowa, Illinois, Kansas, Michigan, Missouri, Ohio,
  South Dakota and Wisconsin have unemployment
  rates above the national average (10.2) for
  their adult populations with less than a high
  school education.
• Illinois, Kansas, Michigan and Wisconsin have
  unemployment rates above the national average
  (5.9) for their adult populations with a high
  school diploma.

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Continued

• Indiana, Michigan, Minnesota and Ohio have an
  unemployment rate above the national average
  (4.8) for their adult populations with some
  college.
• Illinois is the only state in the region that has
  a higher unemployment rate than the national
  average (3.0) for its adult population with a
  bachelors degree.
• Michigan, Minnesota, Missouri and South Dakota
  have unemployment rates above the national
  average (2.6) for their adult populations with
  an advanced degree.

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Private Social BenefitsHealth

• As the educational attainment of residents in all
  Midwestern states increases up through the
  bachelors degree individuals are more likely
  to self-report that their health is good, very
  good or excellent.
• Minnesota, Nebraska and Wisconsin have a larger
  proportion of adults at all educational
  attainment levels responding that their health is
  good, very good or excellent than the
  national average.
• Illinois, Kansas, Michigan, Minnesota and
  Missouri have the largest difference between
  their residents who have a high school diploma
  and their residents with an earned bachelors
  degree reporting good, very good or
  excellent health.

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Public Economic BenefitsPublic Assistance

• Iowa, Michigan, Missouri, Nebraska, North Dakota,
  Ohio, South Dakota and Wisconsin are above the
  national average in terms of the proportion of
  their adult populations with less than a high
  school education receiving some form of public
  assistance.
• Iowa, Indiana, Kansas, Michigan, Minnesota,
  Nebraska, North Dakota, South Dakota and
  Wisconsins adult population with some college
  receive some form of public assistance at a
  slightly higher rate, on average, than their
  adult populations with a high school degree.

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Public Social BenefitVolunteerism

• As educational attainment increases for the adult
  populations in all of the Midwestern states so
  does the proportion of adults who report having
  volunteered.
• The majority of Midwestern states are above the
  national average in terms of the proportion of
  their adult populations, at all educational
  attainment levels, who have volunteered.
• Wisconsin and Iowa lead the region (and are among
  the top performing states in the nation) with the
  largest proportion of adults with a bachelors
  degree or higher having volunteered.

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Public Social BenefitVoting

• As educational attainment increases in the
  majority of the Midwestern states so does the
  proportion of adults who vote.
• The majority of Midwestern states are above the
  national average in terms of the proportion of
  adults, at all educational attainment levels, who
  vote.
• Iowa, Minnesota, North Dakota and Wisconsin lead
  the region with the largest proportion of their
  adult populations with a bachelors degree who
  vote.

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Conclusion Implications

• The articulation of public benefits needs to be
  more prominent in state-level debates about
  educational investments - broadening state
  leaders discussions, which typically focus only
  on private, economic benefits.
• States should have a greater understanding of who
  is reaping the benefits of the Midwestern states
  investment in higher education.
• State leaders should consider what is necessary
  and sufficient for their states investment
  payoff in terms of efficiency, quality and
  equity.
• Additional research is needed on the effect of
  higher education on state-level economic growth,
  the well-being of a region, and the nations
  global competitiveness to better inform public
  policy decisions related to educational
  investments.

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Discussion Questions

• What is the most compelling argument to be made
  from these data trends?
• Which stakeholder(s) should make the
  argument(s)?
• How do we balance equity and efficiency in the
  investment payoff discussions when resources
  are scarce?
• To what extent have we lost sight of the public
  good and the public benefits accrued through a
  higher education in the U.S.?
• What kind of information do we need to speak
  persuasively about higher educations public
  benefits in a global context?
• What needs to happen to change the current focus
  on the private, individual benefits of a higher
  education?
• Is there a role for the Compact to play?
• Are there additional data or conceptual
  frameworks that we can develop to enhance our
  understanding of and dialogue about the benefits
  of a higher education?