LABOUR MARKET, SKILLS AND TUITION FEES

"There are a few signs that higher fees have encouraged marginal decision-making, even if they haven’t stopped young people applying altogether. Arts and social-science subjects have attracted fewer applicants than last year. The lack of jobs has concentrated students’ minds on employment prospects" (quote from The Economist).

A survey of British firms shows that a third of employed people in the UK are overqualified for thier jobs. At the same time, those very firms also declare that there is a significant lack of skills in the labour market. The fact that students, as a result of higher fees, are focusing their choices on employment prospects is therefore a good thing for the labour market. But is it good for them?