HOUSE_OVERSIGHT_025775.jpg
1.49 MB
Extraction Summary
2
People
3
Organizations
1
Locations
1
Events
1
Relationships
3
Quotes
Document Information
Type:
Standard & poor's economic research report (page 13)
File Size:
1.49 MB
Summary
This document is page 13 of a Standard & Poor's economic research report dated August 5, 2014, discussing income inequality and its impact on U.S. economic growth. It analyzes the correlation between education levels, wage growth, and unemployment rates, including a chart projecting potential growth based on education scenarios. The document bears a 'HOUSE_OVERSIGHT' Bates stamp, indicating it was part of a document production for a congressional investigation, likely related to financial records, though the text itself is purely economic analysis.
People (2)
| Name | Role | Context |
|---|---|---|
| Robert Barro | Researcher/Author |
Cited in Chart 6 sources for 'A New Data Set of Educational Attainment in the World, 1950-2010'
|
| Jong-Wha Lee | Researcher/Author |
Cited in Chart 6 sources for 'A New Data Set of Educational Attainment in the World, 1950-2010'
|
Organizations (3)
| Name | Type | Context |
|---|---|---|
| Standard & Poor's |
Publisher of the report; copyright holder
|
|
| Oxford Economics |
Cited as a source for Chart 6
|
|
| House Oversight Committee |
Implied by the Bates stamp 'HOUSE_OVERSIGHT_025775'
|
Timeline (1 events)
Locations (1)
| Location | Context |
|---|---|
|
Subject of the economic research (U.S. Economic Growth, U.S. Potential Growth)
|
Relationships (1)
Cited together in Chart 6 sources: 'Barro, Robert and Jong-Wha Lee'
Key Quotes (3)
"States with a well-educated workforce are high-wage states."Source
HOUSE_OVERSIGHT_025775.jpg
Quote #1
"The unemployment rate for people 25 years old and older with a college degree was 3.3% in June 2014, which is one-third of the unemployment rate of those with less than a high school degree."Source
HOUSE_OVERSIGHT_025775.jpg
Quote #2
"Education is an investment in the health and livelihood of future generations"Source
HOUSE_OVERSIGHT_025775.jpg
Quote #3
Full Extracted Text
Complete text extracted from the document (2,205 characters)
Economic Research: How Increasing Income Inequality Is Dampening U.S. Economic Growth, And Possible Ways
To Change The Tide
To Change The Tide
levels were increasing at the rate they were 15 years ago, the level of potential GDP would be 1%, or $185 billion
higher in five years. A more educated workforce would benefit from higher wages. While the increased supply of
people with advanced degrees may initially slow wage gains for jobs requiring an advanced degree, a stronger
economy would help support higher incomes for all and help government budgets.
higher in five years. A more educated workforce would benefit from higher wages. While the increased supply of
people with advanced degrees may initially slow wage gains for jobs requiring an advanced degree, a stronger
economy would help support higher incomes for all and help government budgets.
Chart 6
Education Improves U.S. Potential Growth
— Increased education — Current path of education
(% growth)
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Sources: Barro, Robert and Jong-Wha Lee, "A New Data Set of Educational Attainment in
the World, 1950-2010." Journal of Development Economics, vol. 104, pp.184-198; Oxford
Economics; and Standard & Poor's Ratings Economics' Estimates.
(% growth)
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Sources: Barro, Robert and Jong-Wha Lee, "A New Data Set of Educational Attainment in
the World, 1950-2010." Journal of Development Economics, vol. 104, pp.184-198; Oxford
Economics; and Standard & Poor's Ratings Economics' Estimates.
© Standard & Poor's 2014.
Historically, data at the state level support these results. States with a well-educated workforce are high-wage states. A
clear and strong correlation exists between the educational attainment of a state's workforce and median wages in the
state, with more educated individuals more likely to participate in the job market and earn more, and less likely to be
unemployed (31). The unemployment rate for people 25 years old and older with a college degree was 3.3% in June
2014, which is one-third of the unemployment rate of those with less than a high school degree.
clear and strong correlation exists between the educational attainment of a state's workforce and median wages in the
state, with more educated individuals more likely to participate in the job market and earn more, and less likely to be
unemployed (31). The unemployment rate for people 25 years old and older with a college degree was 3.3% in June
2014, which is one-third of the unemployment rate of those with less than a high school degree.
Education is an investment in the health and livelihood of future generations, with greater parent education positively
correlated to a child's health, cognitive abilities, academic achievement, and future economic opportunities. Education
not only benefits workers today, but also children tomorrow.
correlated to a child's health, cognitive abilities, academic achievement, and future economic opportunities. Education
not only benefits workers today, but also children tomorrow.
With evidence indicating that a well-educated U.S. workforce is not just good for today's workers and their children but
also for the economy's potential long-term growth rate and government balance sheets, what do we need to do to get
also for the economy's potential long-term growth rate and government balance sheets, what do we need to do to get
WWW.STANDARDANDPOORS.COM/RATINGSDIRECT AUGUST 5, 2014 13
1351366 | 302136118
HOUSE_OVERSIGHT_025775
1351366 | 302136118
HOUSE_OVERSIGHT_025775
Discussion 0
No comments yet
Be the first to share your thoughts on this epstein document