Author: Matthew Leiphon

  • More Machinists, Fewer Poets?

    Politicians from both parties, while on the campaign trail, often argue that they will work to make a college education accessible and affordable to all Americans. Very rarely will one hear calls for “better quality” of education at our colleges and universities, with such debates seemingly being restricted to our K-12 educational system. An opinion piece in the Chronicle of Higher Education claims, however, that many of our institutes of higher learning are failing to meet the challenge of providing a good return on investment for those attending their institutions.

    In his piece, education consultant Marty Nemko argues that “college is a wise choice for far fewer people than are currently encouraged to consider it,” and that colleges and universities need to be held accountable for their “defective products: students who drop out or graduate with far too little benefit for the time and money spent.”

    Nemko points out that over 40 percent of students who enter four-year institutions do not graduate in six years, and cites the “killer statistic,” that,

    “Among high-school students who graduated in the bottom 40 percent of their classes, and whose first institutions were four-year colleges, two-thirds had not earned diplomas eight and a half years later.”

    Nemko also takes issue with the quality of education received by those who do graduate, stating that “50 percent of college seniors scored below “proficient” levels on a test,” requiring them to perform basic tasks, and that “the percentage of college graduates deemed proficient in prose literacy has actually declined from 40 to 31 percent in the past decade.”

    Many young people, Nemko argues, should look to other routes of career development and education, such as apprenticeships and other vocational training.

    Other options do exist, even in the face of a difficult economy. Around the nation, there are communities reporting a need for more skilled workers, requiring training not necessarily linked to gaining a bachelors degree. Manufacturers in northeast Wisconsin face a shortage of new workers, with one company president noting that the local technical school, Northeast Wisconsin Technical College,

    “had 40 job openings posted for CNC technicians. They graduated seven people. In mechanical design, they had 85 job postings and graduated nine people. In electro-mechanical technology they had 75 job openings and graduated four people.”

    Austin, MN, faces a shortage of maintenance mechanics. According to one local technical instructor,

    “If we can’t get more [people] interested in two-year college educations and jobs that require a specialized skill like industrial maintenance mechanics or carpentry and electricians, we’re going be in a deep world of hurt in about five years when all these people retire and we can’t produce goods we need to produce.”

    Communities around the nation will need to find ways to meet such shortages, and build their productive economies. Failure to do so may lead to a loss of potential economic growth. According to the technical instructor, in the face of shortages of skilled workers, “companies may back off on the expansion or growth. Or they may end up relocating to a place where they can find these employees.” Convincing young people that there are other good career options outside the four year degree path will be among the many challenges faced in building our nation’s economic future.

  • Income Inequality on the Rise

    A new report released today by the Organization for Economic Co-operation and Development (OECD) says that income inequality between the rich and poor has grown in three quarters of OECD nations over the past twenty years. The report, “Growing Unequal?”, states that the gap between the rich and middle class in the United States has also grown.

    According to the OECD report,

    “The United States is the country with the highest inequality level and poverty rate across the OECD, Mexico and Turkey excepted. Since 2000, income inequality has increased rapidly, continuing a long-term trend that goes back to the 1970s.”

    As this inequality has risen, rich households “have been leaving both middle and poorer income groups behind.” According to the 30 nation report, “this has happened in many countries, but nowhere has this trend been so stark as in the United States.”

    Commenting on the report, Business Week notes that such increases may pose a threat to “the ‘American Dream’ of social mobility,” with the OECD report noting that social mobility “is lowest in countries with high inequality such as the United States”.

    Facing a potentially deep economic downturn, the middle and lower classes may be in for rough times. Economist Anthony Atkinson, interviewed by Business Week noted that while much of the growth in inequality has taken place during a time of economic expansion, “If a rising tide didn’t lift all boats, how will they be affected by an ebbing tide?” As newgeography.com Executive Editor Joel Kotkin noted earlier today, the survival of the “American aspirational model” may be on the line.

  • In the Doldrums: Another Economic Indicator Heads South

    Lost amidst headlines of bank nationalization, credit market woes, and a worldwide equities rout, was news that the Baltic Dry Index, an index seen as a measure of world trade flows and future economic activity, has been in freefall this week. A drop of 8% on Tuesday was bookended by drops of around 11% on both Monday and Wednesday.

    According to the Guardian, the index is

    “seen as a good leading indicator of future economic production levels because it charts the cost of freight movements in 26 of the world’s biggest shipping lanes of “dry” materials, such as coal, iron ore and grain which feed into the production of finished goods some weeks or months ahead.”

    Since reaching a peak in July, the BDI has plummeted over 80%, leading to fears that demand for commodities, particularly in China, may be on the wane. This could, reports the Guardian, mean that the “great Asian miracle economy might now be coming apart at the seams, in spite of the official figures suggesting everything is still fine.”

    Agricultural areas throughout the United States, buoyed by recent high prices for commodities, have thus far shown economic strength in the face of increasingly difficult conditions nationwide. The good times may be, if not coming towards an end, facing some sort of moderation.

    Effects of the credit crunch have already begun to show some impact on international commodities trade. Last week, Canada’s Financial Post reported that grain shipments had begun to pile up in ports as international buyers found themselves unable to obtain letters of credit. In the words of one marketing expert, the situation is a “nightmare.” According to experts interviewed by Bloomberg, “letters of credit and the credit lines for trade currently are frozen,” and as a result, “nothing is moving”. Such credit issues, in connection with weakened demand for commodities in a potential worldwide recession and a downturn in international trade, may mean that communities around the nation will soon face a more difficult economic picture.

  • Millennial Values, Involvement, and Social Capital

    “American history carefully examined,” argued political scientist Robert Putnam in his notable book Bowling Alone, “is a story of ups and downs in civic engagement . . . a story of collapse and of renewal.” According to Putnam, the passage of the civic-minded World War II generation from American society has led to deterioration in social capital.

    Putnam defines social capital as “connections among individuals,” and the “social networks and the norms of reciprocity and trustworthiness that arise from them.” According to Putnam, the last several decades of the twentieth century, largely coinciding with the rise to preeminence of the Baby Boomers and Generation X, were marked by a huge decline in community involvement and social engagement, which led, by the end of the twentieth century to a “sense of civic malaise,” throughout the nation.

    Since the publication of Putnam’s book in 2000, there has been increased focus on (and criticism of) the concept of social capital in American society. During this period, there has also been a new interest in the latest generation – the Millennials. Born in the last two decades of the 20th century, this new generation has the potential to challenge the previously sacrosanct view of young people as uninvolved and disinterested in civic life, which has become part of the conventional wisdom over the past several decades. This new impulse, when shaped by and combined with their set of unique values, may give the Millennial generation the opportunity to be the force for renewal and change in American society.

    According to research published in 2007 by the National Conference on Citizenship (NCoC), the Millennial generation is showing signs of potentially emerging as a “new civic generation.” Rates of volunteerism have “rose substantially for young Americans over the last generation and remain at historically high levels.” In addition, the NCoC reports, the Millennial generation has the lowest levels of distrust in government, and while they are still the least enthusiastic age group about voting, they “are more favorable toward citizen-centered politics than Gen Xers or Matures.”

    However, it should be noted that youth voting rates have been going up recently. Millennials are interested in getting involved, however, perhaps not in the same ways as previous generations. Shaped by their vast exposure to technology, and a different set of values inculcated during their childhoods, Millennials are looking for new ways to become active participants in their communities, that transcend simply voting or joining a local organization. According to the NCoC Millennials “lack – but want – venues for citizen-centered politics.” They’re in search of “more opportunities for discussion and civic action.” As a generation, Millennials are in search of a way to make their voice and values heard, in a way that suits their particular sense of what it means to be involved.

    Born in 1981, I am considered a “cusp” Millennial. Born on the demarcation line between the allegedly more skeptical, less involved Generation-X, and the supposedly more civic, upbeat Millennial generation, I had the chance during my college years to observe the entry of the Millennials into the environment of higher education. While there is always some danger in placing too much stock in anecdotal evidence, there was some sense, to steal the lyrics of a song familiar to baby boomers, that “something is happening here, but what it is, ain’t exactly clear.”

    As one Millennial once put it to me recently, we seem to be a “backwards generation.” Echoing those who point to a renaissance in civic culture among Millennials, she noted that our generation seems to embracing older values, and recognizing their importance in a balanced life. However, according to her, Millennials were doing this in their own way, complementing these “old” values with our own, increasingly globalized, green, earth-friendly outlook, while also embracing the use of technology as a major part of our everyday life.

    One thing that is clear is the major influence technology has had upon our values, involvement, and interaction. In 1993, as a seventh grade student, I was introduced to the internet. Soon, much to the amazement of our baby-boomer librarians, I was exchanging e-mails with students from all over the world. They found the concept of instantaneous communication between a student in North Dakota and one in Germany novel enough to merit a write up in the school newsletter!

    To Millennials, use of electronic mediums of communication for political and social interaction has become second nature. It is, to echo Putnam, our means of building social capital.

    However, with this embrace of new technology, has come an acceptance of less privacy in our lives. For example, the amount of information that some are willing to share on social networking sites is often shocking. While it may be a force for opening minds and expanding our boundaries, technology also opens us to others in ways that other generations might find unacceptable.

    Another area reflecting our generation’s need to find new ways to become engaged and involved is our view towards work. There is a belief that work should reflect your values, but at the same time, one must be about more than “just work.” Jobs aren’t seen as a life commitment. The value of a job is measured in what it can contribute to our development as an individual, how it helps us meet our personal goals, and what quality of life it allows us to pursue. Work is not viewed as an end in itself, but as an enabler.

    During my time at university, professors remarked to me on more than one occasion that enrollment in political science classes was up by leaps and bounds. One professor felt that the war in Iraq was the driving force behind this. While this might be important, and may be serving to shape the values of my generation, there seems to be more at play. Trying to stick our involvement in the same frame as that of the Vietnam era boomers seems shortsighted. To my generation, the battles of the culture wars seem to have receded, with a more pragmatic, live and let-live attitude being adopted by many Millenials, who approach problems by looking for consensus. The rise of a politician such as Barack Obama, calling for change based on collective action, has been driven in large part by young people across the country, inspired by such a message.

    Robert Putnam, reflecting on the slow wane in American social culture, prior to the rise of the Millennials, argued that above all else, “Americans need to reconnect with one another.” In its own way, the Millennial Generation is going about this process, expressing its unique values, seeking to develop an identity, and becoming engaged in our communities. Some may view this as constructive renewal and others as destructive change to the status quo. As a member of my generation, let me simply assure you, in language that boomers might appreciate, that while Millennials may have their own way of doing things, the kids are alright.

    Matthew is a Research and Development Analyst for Praxis Strategy Group. A native of Crary, ND, Matthew graduated from the University of North Dakota in 2007 with a master’s degree in public administration. As a student, Matthew’s research focuses included community and economic development, intergovernmental relationships, and public policy development and implementation. He has also collaborated on research studying small business start-ups and challenges facing new entrepreneurs.

    In addition to his graduate degree, Matthew also holds a B.A. in political science and history from the University of North Dakota. Prior to joining Praxis Strategy Group, he served as an intern for the North Dakota Legislative Council, in Bismarck, ND, conducting policy research and support work for legislators.