The Job Mismatch Myth

The Obama administration has continued the fantasy of education as a solution to economic problems. Yet more evidence of this in a recent report refuting the idea that we need a whole slew of people trained in science and math and etc. Most of the actual jobs that are available are in the lowest paying and lowest skilled areas of the economy.

From the Real World Economics Review Blog:
About 3.5 million of the jobs lost in the downturn were in high-wage industries, but fewer than 200,000 of the jobs created in the last year were in those same industries. Over half of the jobs created since the economy bottomed out were in the lowest-paying industries. . . .

“[T]he job opportunities currently available to workers have deteriorated compared to what was available before the recession.” The NELP data flatly contradict the idea that the economy is currently facing a structural “mismatch” where workers don’t have the skills that employers are demanding. The recession-related job losses were concentrated in high-wage industries and the new jobs have been in low-wage industries, leaving millions of workers from middle- and high-wage industries high and dry.
See also an earlier post about why education does not create jobs.