David Leonhardt Is Badly Confused: The People Running the Economy Had Far More than 13 Years of Education

January 10, 2015

David Leonhardt has a good discussion of many of the issues surrounding President Obama’s proposal to make community college free. He concludes the piece by noting that we likely need a more educated work force now than in the last century, then adds:

“If nine years of free education was the sensible norm for the masses in the 19th century and 13 years was the sensible norm in the early 20th century, what is the right number in the 21st century?

“Our current system suggests that the answer is still 13. The performance of our economy suggests otherwise.”

Actually almost all of the people who are involved in designing and implementing economic policy have had far more than 13 years of education. The economists who were unable to recognize the $8 trillion housing bubble that wrecked the economy all had well over 20 years of education. Even members of Congress who don’t understand basic economics (e.g. spending creates demand) almost all have had 17 years of education and many have law degrees or other post-college degrees.

The problems of our economy seem to stem from inept economic policy. We don’t have any source of demand to replace the demand generated by the housing bubble. If Leonhardt is claiming the economy’s problems stem from a poorly educated workforce he does not support this with any evidence. 

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