Why Is Productivity So Weak? Three Theories That Miss The Mark. My Advice? Read Piketty.

The rate of economic output is not increasing much. Or is there work below the surface that will pay big dividends in the future? Source: Why Is Productivity So Weak? Three Theories – The New York Times The answer if obvious. Here is how to see it. First, do a search for “diffusion of knowledge” […]

America’s labour market is not working – FT.com (Could It Be Education?)

In 2014, 12 per cent — close to one in eight — of US men between the ages of 25 and 54 were neither in work nor looking for it. This was very close to the Italian ratio and far higher than in other members of the group of seven leading high-income Source: America’s labour […]

Gap Widening as Top Workers Reap the Raises – The New York Times (It’s NOT the lack of degrees – It IS the lack of education.)

For most American workers, including many college graduates, the economic recovery has not meant significantly higher wages, research shows. Source: Gap Widening as Top Workers Reap the Raises – The New York Times I explained. “The cause of this phenomenon is staring us in the face. It is our beliefs that a college education is […]

Low Productivity, What Impact Does Education Have?

US innovators claim they have never been busier, but their ideas are persistently failing to transform the country’s economic data. Labour productivity fell an annual 1.9 per cent in the first three months of the year, while unit labour costs rose Source: Low productivity alarms US policy makers – FT.com I commented but more in […]

Graph in The Economist is flawed

Technology and universities: The log-on degree | The Economist. This graph shows an increase from 1992-2015 of almost 100%, but that is the increase in advertised tuition. The true, or net, increase is 22%. There is a link to the data on my blog (inside-higher-ed ) in the post “How the Government Exaggerates the Cost […]

Research Indicates Even Top Departments Calling A No-Go For a PhD, a Guess What? A PhD!

Here is a link to the paper.  (I will make my point after quoting from the paper.) JEP (28,3) p. 205 – The Research Productivity of New PhDs in Economics: The Surprisingly High Non-success of the Successful. Here is an important conclusion quoted from the paper. “…At the majority of the departments ranked in the top […]

Piketty’s “Key to Overall Productivity Growth” and “the Reduction of Inequality”

The following are quotes from Thomas Piketty’s seminal Capital in the Twenty-First Century.  I have used italics to emphasize parts that I think are particularly important with respect to education. “…Knowledge and skill diffusion is the key to overall productivity growth as well as the reduction of inequality…” (p. 21) “…Do the dynamics of private […]

In One Sentence Piketty Explains “The Great Wage Slowdown of the 21st Century”

David Leonhardt has a good analysis in today’s NY Times. (The Great Wage Slowdown of the 21st Century – NYTimes.com) He realizes the importance of education to economic growth and decreasing inequality.  Yet he makes the same mistake that so many make.   I commented. “The accuracy of the conclusions reached here are almost completely erased […]

Brooklyn College Graduates Step In to Depressing Job Market? No, Brooklyn College Appears to Teach Little.

Brooklyn College Graduates Step In to Depressing Job Market – NYTimes.com. Even their top graduate is having trouble. To get a degree in business, management and finance at Brooklyn College, two math courses are required: Calculus I, and, Elementary Probability and Statistics.  (A more advanced Prob. and Stat. course can be taken.) Here are four (of eight) questions from […]