Economic Bubble

The Downfall of the American Economic and Authority Model

The Downfall of the American Economic and Authority Model

Economic theory states that effective capitalistic markets exist only when every individual and organization acts in their own best interests and are left unhindered and empowered enough to allow for each market to balance supply and demand.  To translate that into plainer English: Capitalism only works when everyone is able to create enough and purchase enough products to ensure that there is an ideal number of products on the market to avoid a surplus or shortage.

So what happens when the economic model is tampered with in an age where transparency is a by product of the Internet? Apparently, riots across the entire civilized world.

Historical Context: Investing in Education, In Spite of Economic Woes

We have seen the importance of education time and time again: from preventing polarization in politics and combating the over reliance on authority figures whom we deem infallible through the Halo Effect, to improving political engagement and increasing the lifespan of the educated.  However, in today's world with soaring tuition costs it can be difficult for many people to accept the insurmountable burden that obtaining a college degree can place on a family; especially when it's no golden ticket to employment after graduation.

Add to this the fact that we exist, in a world where congressmen believe that wind is a finite resource, homeopathic remedies are touted on a daily basis in lieu of medicine, and junk science has become an international export - can we really afford to have a polarized political environment that's too busy fighting over the existence of evolution (in the House Committee of Science no less) to enact meaningful change? If increasing education reduces the number of believers in an absurd theory (e.g. astrology), even without specifically addressing that theory - then an increased number of educated members in our society leads to a healthier, more engaged, and less susceptible to junk science populace.

So when graduating seniors are faced with the inability to go to college without taking on an unsustainable amount of debt, it affects the country in far more ways than just the job market. In fact, as the former Secretary of Labor, Robert Reich, points out it may start a self-fulfilling prophecy where an underemployed workforce hurts the economy, which affects tax revenue, which drives down government programs.  A lack of government programs drives up tuition in schools and drives down political engagement, polarizes the political spectrum, and causes future generations to be underemployed as well.