MARK SCHNEIDER AND MATTHEW SIGELMAN FEBRUARY 2018 Saving the Liberal Arts A M E R I C A N E N T E R P R I S E I N S T I T U T E MAKING THE BACHELOR’S DEGREE A BETTER PATH TO LABOR MARKET SUCCESS
Saving the Liberal Arts
Mar 31, 2023
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
202.862.5800 www.aei.org
F E BRUARY 2018
Saving the Liberal Arts
A M E R I C A N E N T E R P R I S E I N S T I T U T E
MAKIN G T HE BACHELOR’S DEGREE A BET T ER PAT H TO LABOR MARKET SUCC ESS
1
Executive Summary
R ising college tuition and an uneven economic recovery have left many recent college graduates
underemployed and saddled with debt. Even though the bachelor’s degree has historically been a solid investment, many have begun to question whether higher education, especially liberal arts programs, has value for today’s students facing an evolving economy.
To explore the questions around the value of the liberal arts, we analyze detailed information on mil- lions of job postings and worker resumes from Burn- ing Glass Technologies. From these data, we find that employers are looking not only for broad knowl- edge—that which purportedly comes from the lib- eral arts—but also for practical or technical skills that enable job seekers to show up job ready from day one.
We find over 3.8 million entry-level job open- ings in the US for graduates with bachelor’s degrees, 1.4 million of which liberal arts graduates could qual- ify for with their existing degrees and additional, incremental skills training. Examining the 1.4 million postings more closely, we find that these entry-level employment opportunities can pay comparable earn- ings to other entry-level postings available only to graduates with bachelor’s degrees in more specialized fields such as STEM. At the same time, the liberal arts graduates lacking identifiable and practical skills are more likely to be underemployed than other gradu- ates and may suffer a wage penalty relative to their peers in other fields of study that may last throughout their work life.
From these findings, we argue that liberal arts graduates should master additional readily identifi- able skills that can help them be more competitive in the labor market. For example, the right skills (e.g.,
digital design) added to the right major (e.g., fine art) can lead to a good job with a good future. The right skills depend on the career cluster students are enter- ing, but generally adding practical or technical skills to a liberal arts foundation can enhance the prospects of graduates at time of career entry and drive earnings growth and occupational advancement over time.
Students in liberal arts programs also need to be aware that today’s job market is increasingly becom- ing characterized by a smorgasbord of skills that should be mixed and matched to increase employ- ment opportunities and earnings outcomes. Con- sider, for example, the amalgamation of skills that market research analysts, for instance, now need— data analytics skills paired with marketing expertise, which are traditionally disparate skill sets.
Thus, rather than choosing the right degree or major, liberal arts or otherwise, students need to think carefully about building the right combination of skills to launch their careers. Colleges too need to be aware how a hybridization of jobs may be contributing to a growing irrelevance of today’s standard fields of study housed in traditional academic departments.
Colleges and universities can play a role by commu- nicating these opportunities to students throughout their college careers, whether through career services, academic advising, informal advisory settings, or other institutionwide resources. Just as students must explore new ways of mastering and certifying their command of in-demand skills, colleges must explore new methods of informing students of employer needs and potential earnings outcomes and providing active career coaching for students to maximize the value of their educational experiences.
3
Saving the Liberal Arts
MAKING THE BACHELOR’S DEGREE A BETTER PATH TO LABOR MARKET SUCCESS
Mark Schneider and Matthew Sigelman
R ising college tuition and an uneven economic recovery have left many recent college gradu-
ates underemployed and saddled with debt. In turn, this has brought a growing focus on the link between higher education and career outcomes. Even though the bachelor’s degree has historically been a solid investment,1 many have begun to question whether higher education, especially liberal arts programs, has value and relevance for today’s students facing an evolving economy. With a flurry of headlines such as “Who Ruined the Humanities?” and “How Liberal Arts Colleges Are Failing America,”2 these critiques often focus on culture wars that are wracking Ameri- can higher education or perennial debates about how practical postsecondary education ought to be.
Here we eschew the concerns about culture wars and ask simpler questions: Are the hundreds of thou- sands of students graduating with degrees in the lib- eral arts, humanities, and related fields getting a good return on their investment of time and money in earn- ing those degrees? If not, can students take steps to improve their outcomes? And can colleges take steps to incorporate marketable skills into the curricula of existing programs?
To explore these questions, we analyze detailed information on job postings and worker resumes from Burning Glass Technologies and show that employers clearly value core skills associated with liberal arts programs—such as critical thinking, communication, problem-solving, creativity, etc.—but that a lack of practical or technical skills may be limiting graduates’
career prospects in these fields. This report identifies not only a range of high-earning occupations that can be open to liberal arts students but also the specific skills that can help unlock them.
Taking Stock of the Debate Around Liberal Arts Graduates’ Outcomes
Some critics of the liberal arts note that the earnings outcomes of graduates lag those of their peers with degrees in more applied or technical fields. These observers commonly point out tales of overqualified liberal arts graduates working as baristas or cashiers, especially in the wake of the Great Recession.3 Under- employment is indeed prevalent among recent lib- eral arts graduates, at least in relation to their peers with degrees in other fields. According to estimates from Jaison Abel and Richard Deitz from the Federal Reserve Bank of New York, liberal arts graduates are almost 20 percent more likely to be underemployed than college graduates overall and are far more likely to work in a low-skilled service job than graduates with majors in more quantitatively oriented and occu- pationally specific fields.4
One common argument in defense of the liberal arts, however, is that while graduates’ earnings and employ- ment prospects start out slowly relative to graduates in other fields, liberal arts graduates will experience a more rapid increase in earnings as the value of their education manifests.5 To that point, consider Table 1,
4
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
which displays median earnings for graduates at age 25 and age 30 for selected fields of study, as reported by the American Community Survey.6
At first glance, these data reflect substantial growth in earnings for liberal arts and humanities majors, but they also indicate that graduates in these fields con- tinue to lag behind their peers in other fields. In fact, of the programs listed in Table 2, liberal arts degree holders have the lowest median earnings at age 30.7
Other research suggests this earnings lag persists for liberal arts graduates compared to other fields of study, especially STEM. In 2014, the Hamilton Project reported median lifetime earnings by college major, finding that graduates in fields such as engineering, computer science, economics, operations and logis- tics, and finance have median lifetime earnings well over $1.5 million, whereas graduates in fields such as fine arts, sociology, music, and anthropology do not top $1 million (below average for all bachelor’s degree fields).8 Another 2014 report from the Association of American Colleges and Universities (AAC&U) examined long-term earnings outcomes for liberal arts graduates, finding that at the peak-earning ages of 56–60, median annual earnings for liberal arts
graduates were $2,000 more than those with pro- fessional or preprofessional degrees ($66,185 versus $64,149).9 However, this finding is less than meets the eye because it is driven by the earnings of the minority of liberal arts graduates with advanced degrees. The majority of liberal arts graduates with only a bacca- laureate degree have median annual earnings nearly $20,000 less than those with professional or prepro- fessional degrees.10 A 2018 analysis by the American Academy of Arts and Sciences shows that the job sat- isfaction of arts and humanities graduates compares to their peers in other fields, but the report docu- ments large gaps in earnings outcomes and higher anxiety about money on the part of these graduates.11
In light of these findings, perhaps it is not sur- prising that, according to a report from Gallup and Strada Education Network, only 28 percent of liberal arts students reported they were confident that their knowledge and skills could lead to success in the job market—the lowest among all students surveyed.12 The earnings data suggest these students’ concerns are well grounded.
Meager postgraduate earnings outcomes mixed with buyer’s remorse may contribute to another
Table 1. Median Earnings for Bachelor’s Degree Completers by Selected Field of Study
Median Earnings Median Earnings Field of Study (Age 25) (Age 30)
Philosophy and Religious Studies $22,923 $37,030 Liberal Arts and Humanities $24,687 $36,683 English Language, Literature, and Composition $25,715 $38,045 History $28,298 $39,731 Area, Ethnic, and Civilization Studies $28,390 $41,144 Biology and Life Sciences $23,624 $43,663 All Majors $32,747 $45,100 Social Sciences $32,915 $46,287 Mathematics and Statistics $39,087 $49,373 Business $36,683 $49,373 Engineering Technologies $40,116 $56,573 Computer and Information Sciences $43,663 $57,986
Note: We only include select fields of study in this table for brevity. Earnings are in 2014 dollars. Source: Authors’ calculations using the American Community Survey, 2009–12.
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
5
troubling trend for the liberal arts: waning inter- est.13 Over the past decade, the number of bachelor’s degrees American colleges awarded in the liberal arts and related fields has significantly declined compared to other fields. Table 2 reports the change in the num- ber of completers in selected fields of study between the 2007–08 academic year—just before the Great Recession—and the 2015–16 academic year.
Nationwide, the number of bachelor’s degree com- pleters increased by 31 percent over that time frame. Yet the number of graduates in the liberal arts and related fields fell, often substantially. For instance, there was over a 20 percent decline in the number of history and English degree conferrals, followed by a 15 percent decline in philosophy graduates.14
Paradoxically, even as degrees in traditional lib- eral arts fields are marked by low earnings and declin- ing interest, employers are vocal and consistent in demanding workers with the skills considered cen- tral to liberal arts programs. A 2013 AAC&U survey of employers found that 80 percent agreed that all stu- dents should acquire broad knowledge in the liberal
arts and sciences.15 Another 2017 survey of employers by the National Association of Colleges and Employ- ers found that among the top attributes sought on candidates’ resumes were problem-solving (77 per- cent of respondents) and written and verbal commu- nication skills (75 and 71 percent, respectively)16—the hallmarks of a traditional liberal education.17 How- ever, the data on earnings outcomes suggest that such knowledge or skills may not necessarily be enough.
As our analysis in the following pages indicates, employers are looking not only for broad knowl- edge—that which purportedly comes from courses of study in the liberal arts—but also for practical or technical skills that will enable job seekers to show up job ready from day one.
We believe that it is incumbent on liberal arts grad- uates to master additional skills that can help them be more competitive in the labor market. These readily identifiable skills can enhance the prospects of liberal arts graduates at the time of career entry and drive growth in earnings and occupational advancement over time. Furthermore, we argue that institutions
Table 2. Percentage Change in Bachelor’s Degrees Conferred by Selected Field of Study
Change in Number Number of Field of Study of Completions (2007–16) Completions (2016)
Philosophy and Religious Studies –15% 10,147 Liberal Arts and Humanities –4% 43,641 English Language, Literature, and Composition –22% 42,728 History –25% 25,464 Area, Ethnic, and Civilization Studies –4% 7,834 Biology and Life Sciences 55% 113,665 Mathematics and Statistics 54% 22,727 Social Sciences 6% 135,048 Business 24% 370,000 Engineering Technologies 704% 16,512 Computer and Information Sciences 85% 64,267 All Majors 31% — *
Note: * Total completions are not listed for all majors to not confuse the reader because several fields of study are omitted in the table for brevity. Number of completions represents total first-major bachelor’s degrees conferred by Title-IV participating, four-year institutions during the 2007–08 and 2015–16 academic years. Source: Authors’ calculations using Integrated Postsecondary Data System, 2007–08 and 2015–16.
6
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
of higher education must look inward to ensure they are offering students ample skills-building opportu- nities while actively communicating information on in-demand skills and occupations.
But which occupations should liberal arts stu- dents target? And perhaps more importantly, which skills will help them compete in the labor market? We now turn to Burning Glass Technologies’ proprietary database of job postings and resumes to help identify these occupations and skills.18
Mapping the Jobs Ecosystem for Graduates with Bachelor’s Degrees
In this analysis, we aim to identify a set of occupa- tional categories that represent potential employ- ment opportunities for liberal arts graduates. Our intent is not to dissuade students from pursuing a field of study for which they have a passion. Rather we aim to identify discrete skills that could be added to a traditional course of study in the liberal arts that can increase students’ marketability and earnings.
We start by identifying a set of occupations that represent entry-level opportunities for all college graduates, defined as occupations requiring a col- lege degree and less than five years of experience, as determined by the Bureau of Labor Statistics (BLS).19 Next, we eliminate occupations with no measurable demand for bachelor’s-level candidates—that is, we eliminate occupations that are only viable targets for those with advanced or professional degrees or sub-baccalaureate degrees. We thus only consider the broad set of jobs requiring college-level skills for which bachelor’s graduates may qualify, a total of 3.8 million unique entry-level job postings over the past year.
We then parse out the remaining occupations that typically require degrees in certain specialized fields (e.g., engineering or accounting) from those that do not. Doing so allows us to isolate the universe of jobs that liberal arts graduates can feasibly target—either with their existing degrees alone or by acquiring addi- tional, incremental skills via nondegree training, an internship in a related field, adding a minor, or related
avenues. We refer to the former cluster of occupa- tions as “specialized jobs” and the latter cluster as “nonspecialized jobs.” See Appendix A for a more detailed explanation of our methodology.
Our data show that, over the past year, roughly 1.4 million entry-level openings did not require a spe- cialized degree for which liberal arts graduates could potentially qualify. These postings represent over one-third of all entry-level postings available to grad- uates with bachelor’s degrees found in the Burning Glass database.
Our data also suggest that liberal arts graduates, with some additional skills training, can potentially realize earnings comparable to those of their more spe- cialized counterparts. Table 3—which measures what liberal arts graduates could make if they were to add the right skills—shows that the average early-career salary of jobs potentially open to liberal arts graduates is virtually identical to that of more specialized jobs or roles. (Again, see Appendix A for the method for cal- culating average early-career earnings.)
However, the consistent gap in actual earnings between liberal arts graduates and their peers with degrees in other fields, as described earlier in the report, suggests that many opportunities to achieve better earnings outcomes are going unrealized. In other words, thousands of liberal arts graduates are leaving substantial amounts of money on the table.20
Which Career Options Could Be Liberal Arts Graduates’ Best Opportunities?
For the rest of the analysis, we focus particularly on the collection of 1.4 million nonspecialized job post- ings potentially open to liberal arts graduates. For these graduates to improve their success in the job market, they must look to develop certain skills that can unlock a range of higher-paying career options.
From these 1.4 million postings, we identify 10 career clusters that liberal arts graduates could tar- get that offer them the best employment and advance- ment potential: business administration, data analysis and data management, human resources, information technology (IT) and networking, sales, programming
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
7
and software development, finance, marketing and PR, design, and media and communication. These clusters were identified by analyzing these online job openings and grouping-related occupations with similar skill profiles that represent strong career opportunities for liberal arts graduates. For more information about how these clusters were identified, see Appendix A.
In these 10 career clusters, we then pull out exam- ples of certain occupations and the skills therein that are required to secure employment in those occu- pations. Table 4 shows occupations and commonly required skills in each of these 10 career clusters. Note that the examples of occupations and skills are not exhaustive and that an occupation can appear in several career clusters.
Quantifying the Opportunity for Liberal Arts Graduates
Although each of the 10 career clusters we identify in our analysis could afford liberal arts graduates strong employment opportunities, they can lead to radi- cally different earnings outcomes and employment opportunities.
In Table 5 we display data on the number and growth of jobs in these career clusters, the num- ber of entry-level positions, and the percentage of entry-level positions filled by liberal arts graduates.
These data help highlight some of the best potential entry-level opportunities for liberal arts graduates.
As shown in Table 5, business administration offers the greatest number of entry-level openings. How- ever, other clusters, such as data analysis and data management or programming, are growing faster or, as evident in Table 5, offer higher average salaries.
This kind of labor market information presents both opportunities and challenges for students and their colleges. Individual students need to determine the best career clusters to target based on their inter- ests and skills. Indeed, a student with a comparative skills advantage geared toward a certain lower-paying field may not realize a better outcome by seeking additional training to enter a different higher-paying field.21 But there is also a need for colleges to help students identify the best opportunities regionally or nationally that are consistent with student inter- ests and skills. Unfortunately, as a recent Gallup study shows, students struggle to find good advice from informational resources on their campuses.22
There are several themes that emerge from our data that can help students better prepare for and succeed in the job market and that can help colleges improve their advising.
Demand for Communication and Human- Centric Skills. As more technical and repetitive tasks are becoming automated, the relative value of
Table 3. Entry-Level Opportunities for Bachelor’s Graduates by Specialized and Nonspecialized Jobs
Entry-Level Openings: October 2016– Share of B.A. Average Potential Category September 2017 Entry-Level Openings Early-Career Salary
All B.A.-Level Jobs 3,818,246 100% $50,668 Nonspecialized Jobs Open to Liberal Arts Graduates 1,367,532 36% $50,514 Specialized Jobs 2,455,263 64% $50,834
Note: Nonspecialized jobs represent occupations that typically require a college degree but do not necessarily require a specific major. Specialized jobs represent occupations that typically require a college degree in a specific major. Average potential early-career salary represents either the mean salary for occupations requiring no previous experience or the 25th percentile salary for occupations requir- ing less than five years of experience, as derived…
F E BRUARY 2018
Saving the Liberal Arts
A M E R I C A N E N T E R P R I S E I N S T I T U T E
MAKIN G T HE BACHELOR’S DEGREE A BET T ER PAT H TO LABOR MARKET SUCC ESS
1
Executive Summary
R ising college tuition and an uneven economic recovery have left many recent college graduates
underemployed and saddled with debt. Even though the bachelor’s degree has historically been a solid investment, many have begun to question whether higher education, especially liberal arts programs, has value for today’s students facing an evolving economy.
To explore the questions around the value of the liberal arts, we analyze detailed information on mil- lions of job postings and worker resumes from Burn- ing Glass Technologies. From these data, we find that employers are looking not only for broad knowl- edge—that which purportedly comes from the lib- eral arts—but also for practical or technical skills that enable job seekers to show up job ready from day one.
We find over 3.8 million entry-level job open- ings in the US for graduates with bachelor’s degrees, 1.4 million of which liberal arts graduates could qual- ify for with their existing degrees and additional, incremental skills training. Examining the 1.4 million postings more closely, we find that these entry-level employment opportunities can pay comparable earn- ings to other entry-level postings available only to graduates with bachelor’s degrees in more specialized fields such as STEM. At the same time, the liberal arts graduates lacking identifiable and practical skills are more likely to be underemployed than other gradu- ates and may suffer a wage penalty relative to their peers in other fields of study that may last throughout their work life.
From these findings, we argue that liberal arts graduates should master additional readily identifi- able skills that can help them be more competitive in the labor market. For example, the right skills (e.g.,
digital design) added to the right major (e.g., fine art) can lead to a good job with a good future. The right skills depend on the career cluster students are enter- ing, but generally adding practical or technical skills to a liberal arts foundation can enhance the prospects of graduates at time of career entry and drive earnings growth and occupational advancement over time.
Students in liberal arts programs also need to be aware that today’s job market is increasingly becom- ing characterized by a smorgasbord of skills that should be mixed and matched to increase employ- ment opportunities and earnings outcomes. Con- sider, for example, the amalgamation of skills that market research analysts, for instance, now need— data analytics skills paired with marketing expertise, which are traditionally disparate skill sets.
Thus, rather than choosing the right degree or major, liberal arts or otherwise, students need to think carefully about building the right combination of skills to launch their careers. Colleges too need to be aware how a hybridization of jobs may be contributing to a growing irrelevance of today’s standard fields of study housed in traditional academic departments.
Colleges and universities can play a role by commu- nicating these opportunities to students throughout their college careers, whether through career services, academic advising, informal advisory settings, or other institutionwide resources. Just as students must explore new ways of mastering and certifying their command of in-demand skills, colleges must explore new methods of informing students of employer needs and potential earnings outcomes and providing active career coaching for students to maximize the value of their educational experiences.
3
Saving the Liberal Arts
MAKING THE BACHELOR’S DEGREE A BETTER PATH TO LABOR MARKET SUCCESS
Mark Schneider and Matthew Sigelman
R ising college tuition and an uneven economic recovery have left many recent college gradu-
ates underemployed and saddled with debt. In turn, this has brought a growing focus on the link between higher education and career outcomes. Even though the bachelor’s degree has historically been a solid investment,1 many have begun to question whether higher education, especially liberal arts programs, has value and relevance for today’s students facing an evolving economy. With a flurry of headlines such as “Who Ruined the Humanities?” and “How Liberal Arts Colleges Are Failing America,”2 these critiques often focus on culture wars that are wracking Ameri- can higher education or perennial debates about how practical postsecondary education ought to be.
Here we eschew the concerns about culture wars and ask simpler questions: Are the hundreds of thou- sands of students graduating with degrees in the lib- eral arts, humanities, and related fields getting a good return on their investment of time and money in earn- ing those degrees? If not, can students take steps to improve their outcomes? And can colleges take steps to incorporate marketable skills into the curricula of existing programs?
To explore these questions, we analyze detailed information on job postings and worker resumes from Burning Glass Technologies and show that employers clearly value core skills associated with liberal arts programs—such as critical thinking, communication, problem-solving, creativity, etc.—but that a lack of practical or technical skills may be limiting graduates’
career prospects in these fields. This report identifies not only a range of high-earning occupations that can be open to liberal arts students but also the specific skills that can help unlock them.
Taking Stock of the Debate Around Liberal Arts Graduates’ Outcomes
Some critics of the liberal arts note that the earnings outcomes of graduates lag those of their peers with degrees in more applied or technical fields. These observers commonly point out tales of overqualified liberal arts graduates working as baristas or cashiers, especially in the wake of the Great Recession.3 Under- employment is indeed prevalent among recent lib- eral arts graduates, at least in relation to their peers with degrees in other fields. According to estimates from Jaison Abel and Richard Deitz from the Federal Reserve Bank of New York, liberal arts graduates are almost 20 percent more likely to be underemployed than college graduates overall and are far more likely to work in a low-skilled service job than graduates with majors in more quantitatively oriented and occu- pationally specific fields.4
One common argument in defense of the liberal arts, however, is that while graduates’ earnings and employ- ment prospects start out slowly relative to graduates in other fields, liberal arts graduates will experience a more rapid increase in earnings as the value of their education manifests.5 To that point, consider Table 1,
4
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
which displays median earnings for graduates at age 25 and age 30 for selected fields of study, as reported by the American Community Survey.6
At first glance, these data reflect substantial growth in earnings for liberal arts and humanities majors, but they also indicate that graduates in these fields con- tinue to lag behind their peers in other fields. In fact, of the programs listed in Table 2, liberal arts degree holders have the lowest median earnings at age 30.7
Other research suggests this earnings lag persists for liberal arts graduates compared to other fields of study, especially STEM. In 2014, the Hamilton Project reported median lifetime earnings by college major, finding that graduates in fields such as engineering, computer science, economics, operations and logis- tics, and finance have median lifetime earnings well over $1.5 million, whereas graduates in fields such as fine arts, sociology, music, and anthropology do not top $1 million (below average for all bachelor’s degree fields).8 Another 2014 report from the Association of American Colleges and Universities (AAC&U) examined long-term earnings outcomes for liberal arts graduates, finding that at the peak-earning ages of 56–60, median annual earnings for liberal arts
graduates were $2,000 more than those with pro- fessional or preprofessional degrees ($66,185 versus $64,149).9 However, this finding is less than meets the eye because it is driven by the earnings of the minority of liberal arts graduates with advanced degrees. The majority of liberal arts graduates with only a bacca- laureate degree have median annual earnings nearly $20,000 less than those with professional or prepro- fessional degrees.10 A 2018 analysis by the American Academy of Arts and Sciences shows that the job sat- isfaction of arts and humanities graduates compares to their peers in other fields, but the report docu- ments large gaps in earnings outcomes and higher anxiety about money on the part of these graduates.11
In light of these findings, perhaps it is not sur- prising that, according to a report from Gallup and Strada Education Network, only 28 percent of liberal arts students reported they were confident that their knowledge and skills could lead to success in the job market—the lowest among all students surveyed.12 The earnings data suggest these students’ concerns are well grounded.
Meager postgraduate earnings outcomes mixed with buyer’s remorse may contribute to another
Table 1. Median Earnings for Bachelor’s Degree Completers by Selected Field of Study
Median Earnings Median Earnings Field of Study (Age 25) (Age 30)
Philosophy and Religious Studies $22,923 $37,030 Liberal Arts and Humanities $24,687 $36,683 English Language, Literature, and Composition $25,715 $38,045 History $28,298 $39,731 Area, Ethnic, and Civilization Studies $28,390 $41,144 Biology and Life Sciences $23,624 $43,663 All Majors $32,747 $45,100 Social Sciences $32,915 $46,287 Mathematics and Statistics $39,087 $49,373 Business $36,683 $49,373 Engineering Technologies $40,116 $56,573 Computer and Information Sciences $43,663 $57,986
Note: We only include select fields of study in this table for brevity. Earnings are in 2014 dollars. Source: Authors’ calculations using the American Community Survey, 2009–12.
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
5
troubling trend for the liberal arts: waning inter- est.13 Over the past decade, the number of bachelor’s degrees American colleges awarded in the liberal arts and related fields has significantly declined compared to other fields. Table 2 reports the change in the num- ber of completers in selected fields of study between the 2007–08 academic year—just before the Great Recession—and the 2015–16 academic year.
Nationwide, the number of bachelor’s degree com- pleters increased by 31 percent over that time frame. Yet the number of graduates in the liberal arts and related fields fell, often substantially. For instance, there was over a 20 percent decline in the number of history and English degree conferrals, followed by a 15 percent decline in philosophy graduates.14
Paradoxically, even as degrees in traditional lib- eral arts fields are marked by low earnings and declin- ing interest, employers are vocal and consistent in demanding workers with the skills considered cen- tral to liberal arts programs. A 2013 AAC&U survey of employers found that 80 percent agreed that all stu- dents should acquire broad knowledge in the liberal
arts and sciences.15 Another 2017 survey of employers by the National Association of Colleges and Employ- ers found that among the top attributes sought on candidates’ resumes were problem-solving (77 per- cent of respondents) and written and verbal commu- nication skills (75 and 71 percent, respectively)16—the hallmarks of a traditional liberal education.17 How- ever, the data on earnings outcomes suggest that such knowledge or skills may not necessarily be enough.
As our analysis in the following pages indicates, employers are looking not only for broad knowl- edge—that which purportedly comes from courses of study in the liberal arts—but also for practical or technical skills that will enable job seekers to show up job ready from day one.
We believe that it is incumbent on liberal arts grad- uates to master additional skills that can help them be more competitive in the labor market. These readily identifiable skills can enhance the prospects of liberal arts graduates at the time of career entry and drive growth in earnings and occupational advancement over time. Furthermore, we argue that institutions
Table 2. Percentage Change in Bachelor’s Degrees Conferred by Selected Field of Study
Change in Number Number of Field of Study of Completions (2007–16) Completions (2016)
Philosophy and Religious Studies –15% 10,147 Liberal Arts and Humanities –4% 43,641 English Language, Literature, and Composition –22% 42,728 History –25% 25,464 Area, Ethnic, and Civilization Studies –4% 7,834 Biology and Life Sciences 55% 113,665 Mathematics and Statistics 54% 22,727 Social Sciences 6% 135,048 Business 24% 370,000 Engineering Technologies 704% 16,512 Computer and Information Sciences 85% 64,267 All Majors 31% — *
Note: * Total completions are not listed for all majors to not confuse the reader because several fields of study are omitted in the table for brevity. Number of completions represents total first-major bachelor’s degrees conferred by Title-IV participating, four-year institutions during the 2007–08 and 2015–16 academic years. Source: Authors’ calculations using Integrated Postsecondary Data System, 2007–08 and 2015–16.
6
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
of higher education must look inward to ensure they are offering students ample skills-building opportu- nities while actively communicating information on in-demand skills and occupations.
But which occupations should liberal arts stu- dents target? And perhaps more importantly, which skills will help them compete in the labor market? We now turn to Burning Glass Technologies’ proprietary database of job postings and resumes to help identify these occupations and skills.18
Mapping the Jobs Ecosystem for Graduates with Bachelor’s Degrees
In this analysis, we aim to identify a set of occupa- tional categories that represent potential employ- ment opportunities for liberal arts graduates. Our intent is not to dissuade students from pursuing a field of study for which they have a passion. Rather we aim to identify discrete skills that could be added to a traditional course of study in the liberal arts that can increase students’ marketability and earnings.
We start by identifying a set of occupations that represent entry-level opportunities for all college graduates, defined as occupations requiring a col- lege degree and less than five years of experience, as determined by the Bureau of Labor Statistics (BLS).19 Next, we eliminate occupations with no measurable demand for bachelor’s-level candidates—that is, we eliminate occupations that are only viable targets for those with advanced or professional degrees or sub-baccalaureate degrees. We thus only consider the broad set of jobs requiring college-level skills for which bachelor’s graduates may qualify, a total of 3.8 million unique entry-level job postings over the past year.
We then parse out the remaining occupations that typically require degrees in certain specialized fields (e.g., engineering or accounting) from those that do not. Doing so allows us to isolate the universe of jobs that liberal arts graduates can feasibly target—either with their existing degrees alone or by acquiring addi- tional, incremental skills via nondegree training, an internship in a related field, adding a minor, or related
avenues. We refer to the former cluster of occupa- tions as “specialized jobs” and the latter cluster as “nonspecialized jobs.” See Appendix A for a more detailed explanation of our methodology.
Our data show that, over the past year, roughly 1.4 million entry-level openings did not require a spe- cialized degree for which liberal arts graduates could potentially qualify. These postings represent over one-third of all entry-level postings available to grad- uates with bachelor’s degrees found in the Burning Glass database.
Our data also suggest that liberal arts graduates, with some additional skills training, can potentially realize earnings comparable to those of their more spe- cialized counterparts. Table 3—which measures what liberal arts graduates could make if they were to add the right skills—shows that the average early-career salary of jobs potentially open to liberal arts graduates is virtually identical to that of more specialized jobs or roles. (Again, see Appendix A for the method for cal- culating average early-career earnings.)
However, the consistent gap in actual earnings between liberal arts graduates and their peers with degrees in other fields, as described earlier in the report, suggests that many opportunities to achieve better earnings outcomes are going unrealized. In other words, thousands of liberal arts graduates are leaving substantial amounts of money on the table.20
Which Career Options Could Be Liberal Arts Graduates’ Best Opportunities?
For the rest of the analysis, we focus particularly on the collection of 1.4 million nonspecialized job post- ings potentially open to liberal arts graduates. For these graduates to improve their success in the job market, they must look to develop certain skills that can unlock a range of higher-paying career options.
From these 1.4 million postings, we identify 10 career clusters that liberal arts graduates could tar- get that offer them the best employment and advance- ment potential: business administration, data analysis and data management, human resources, information technology (IT) and networking, sales, programming
SAVING THE LIBERAL ARTS MARK SCHNEIDER AND MATTHEW SIGELMAN
7
and software development, finance, marketing and PR, design, and media and communication. These clusters were identified by analyzing these online job openings and grouping-related occupations with similar skill profiles that represent strong career opportunities for liberal arts graduates. For more information about how these clusters were identified, see Appendix A.
In these 10 career clusters, we then pull out exam- ples of certain occupations and the skills therein that are required to secure employment in those occu- pations. Table 4 shows occupations and commonly required skills in each of these 10 career clusters. Note that the examples of occupations and skills are not exhaustive and that an occupation can appear in several career clusters.
Quantifying the Opportunity for Liberal Arts Graduates
Although each of the 10 career clusters we identify in our analysis could afford liberal arts graduates strong employment opportunities, they can lead to radi- cally different earnings outcomes and employment opportunities.
In Table 5 we display data on the number and growth of jobs in these career clusters, the num- ber of entry-level positions, and the percentage of entry-level positions filled by liberal arts graduates.
These data help highlight some of the best potential entry-level opportunities for liberal arts graduates.
As shown in Table 5, business administration offers the greatest number of entry-level openings. How- ever, other clusters, such as data analysis and data management or programming, are growing faster or, as evident in Table 5, offer higher average salaries.
This kind of labor market information presents both opportunities and challenges for students and their colleges. Individual students need to determine the best career clusters to target based on their inter- ests and skills. Indeed, a student with a comparative skills advantage geared toward a certain lower-paying field may not realize a better outcome by seeking additional training to enter a different higher-paying field.21 But there is also a need for colleges to help students identify the best opportunities regionally or nationally that are consistent with student inter- ests and skills. Unfortunately, as a recent Gallup study shows, students struggle to find good advice from informational resources on their campuses.22
There are several themes that emerge from our data that can help students better prepare for and succeed in the job market and that can help colleges improve their advising.
Demand for Communication and Human- Centric Skills. As more technical and repetitive tasks are becoming automated, the relative value of
Table 3. Entry-Level Opportunities for Bachelor’s Graduates by Specialized and Nonspecialized Jobs
Entry-Level Openings: October 2016– Share of B.A. Average Potential Category September 2017 Entry-Level Openings Early-Career Salary
All B.A.-Level Jobs 3,818,246 100% $50,668 Nonspecialized Jobs Open to Liberal Arts Graduates 1,367,532 36% $50,514 Specialized Jobs 2,455,263 64% $50,834
Note: Nonspecialized jobs represent occupations that typically require a college degree but do not necessarily require a specific major. Specialized jobs represent occupations that typically require a college degree in a specific major. Average potential early-career salary represents either the mean salary for occupations requiring no previous experience or the 25th percentile salary for occupations requir- ing less than five years of experience, as derived…
Related Documents
