“ The Economics of Education.” Unit Three: Learning Objectives: North Clackamas School District Social Studies Priority Standards: Econ 51 (B): Define.

PowerPoint Presentation

EconomicsMr. KirbyCHSUnit 2: Lesson 8The Economics of Education.

Unit Three: Learning Objectives:North Clackamas School District Social Studies Priority Standards:Econ 51 (B): Define economic terms and identify examples of them in a current economy.

Daily Learning TargetI CAN. Write about the significance of education in relation to our economy

The Economics Of Education

4Daily Learning TargetPlease take out a piece of notebook and write ten facts that support the following position that I will discuss today..

The greatest anti-poverty program is a world-class education. -President Obama - 2010 State of the Union

Lets Look Some Ways FailureTo Finish High School Affect UsPoverty 15% of people live below the poverty line but 22% of those without a high school education live in poverty.

Public assistance 140,000 welfare recipients in Texaswere high school dropouts. 2.7 million are in U.S. prisons and 80% read below a 7th grade level.

Prisons 100,000 of 151,000 Texas prisoners didnt finish highschool and 50,000 of the 100,000 were functionally illiterate.

Unemployment When unemployment was 4%, it was 1% for college grads and 7.1% for high school dropouts.Lost earning power Average salary for dropouts: $19,000;For high school grads: $27,000; & for college grads: $44,000.

If they hadnt dropped out - The 630,000 dropouts in the D-FW area earn $8,000 less than a high school graduate. In theory, if those 630,000 had a diploma, the D-FW area wouldhave had about $5 billion more in income.

It cost $8,000 a year to get a student thru public high school, it costs $41,000 for a year in prison. So, we can educate now or incarcerate later.

Some public schools in the inner-city are feeder schools for prisons.

6Changes in Educational Attainment -U.S. Adult Population1950 1960 1970 1980 1990 2007100 80 60 40 20 0College Graduates or MoreHigh School Graduates or MoreSource: U.S. Census BureauPercent of U.S. PopulationAccounting For GrowthThe greatest anti-poverty program is a world-class education. President Obama - 2010 State of the Union7Cost of Education v. Ignorance [Obama]

Median Earnings of Year Round, Full-Time WorkersAge 25 and Over, By Gender Educational, Attainment, 2009Economics of EducationHttp://www.his.gov/ops/#tables$55,588$76,182$50,468$64,636$44,720$59,644$31,668$42,120$26,624$35,828$19,188$25,012 Advanced Degree

Bachelors Degree or Higher

Bachelors Degree Only

Some College or Assoc. Degree

High School Graduate, No College

Less Than A High School DiplomaFemale Male$0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 $80,0009$1.0million$1.6million$1.8million$2.4million$2.8million$3.5million6

4

3

2

1

$1.4million

Less than High SchoolHigh School GradsSome CollegeAssociates DegreeMasters DegreeBachelors DegreeDoctoral DegreeProfessional Degree$4.2millionLifetime Earnings Based On Educational Level

By 2020, 65% of all jobs will require postsecondary education.

22% of Americas high school students will leave without graduating.

How will they compete in the global economy?4-17-200635% of whites graduatefrom college, but only 17%of blacks and 11% for Hispanics. 61% of Asians graduate from college.

31% of women graduatefrom college, for men it isonly 26%. [5% in 1945]

93% of Asians graduatefrom high school, 83% for whites, 71% for Hispanics,and 66% for blacks.34% of Texas high school students drop out. They are 3 times as likely to receive welfare benefits.Dallas ISD reported that their graduationrate from 1995 to 2008 improved from38% to 50%. Sadly, 50% is good for many big cities.Although 22% drop out of high school, it is 29% for Latinos, 34% for Blacks, and49% for Native American students.Nationally, of 100 students in 9th grade, only 75 will graduate from high school, but only 51 will enter college. Within 6 years,only 22 will have a degree.Nationally, 7,000 drop out every day or about 1.3 million every year.11More education leads to higher incomes.This leads to more spending on goods & services.This leads to less public assistance & less crime.This leads to lower taxes and a more vibrant economy that attracts more business.Education costs money but ignorance cost more.Or, the only thing more expensive than going to college is NOT GOING TO COLLEGE.

Education Is The Best Infrastructure

12Final reflection QuestionWrite a page quick write on the following quote from the President. Do you agree-why or why not? Please turn into me and pick up a test. The greatest anti-poverty program is a world-class education. - President Obama - 2010 State of the Union

When you are finished with the test

Pick up the article on Commodities.

Next time we meet we are playing the highly competitive A Market in Wheat Game.YOU MUST TURN ARTICLE AND QUESTIONS IN TO PLAY THE GAME NEXT PERIOD!

It will take one full period to play.

The Wheat Game[Lets Get Ready to Rumble!]

15