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What history reveals about education after an economic crisis | Adventus.io

Written by Pam | Aug 28, 2020 10:16:00 AM

When the Global Financial Crises (GFC) swept the globe in 2008-09, it was no coincidence the number of university entrance exams taken had soared.

Source: Education Week

This indicated a heightened demand for tertiary education. Corresponding to a sharp increase in international enrolment, as seen in the period post 2009.

% growth in international enrolments over previous year

Source: UNESCO Institute for Statistics

As jobs vanished and unemployment rose, more people opted to go to school.

A study by the National Bureau of Economic Research showed an average worker typically experiences 70% of overall wage growth during the first 10 years of his or her career.

And graduating in a recession leads to a lower initial wage of about 9% below market a gap which does not fully recover until about 10 years after graduation.

Explaining why those already in school chose to extend or pursue advanced degrees.