The Relationship between the Educational Attainment and Median Wages in theU.S. Labour Market during the period from 2000 to 2023

Abstract

This paper aims to explore the relationship between the level of education and median wages in the United States spanning the period between the 1^st quarter of 2000 and the 1^st quarter of 2023. The study adopted a descriptive analytical approach in order to examine the impact of educational attainment on the median usual weekly earnings of full-time wage and salary workers over the 23-year period using the data collected form the Bureau of Labor Statistic BLS as one of the main and reliable data sources in the United States. It is found that the median usual weekly earnings for those aged 25 years and older with bachelor’s degree and higher has been improving significantly – quarterly averaged – during the stated period. This is where they increased by about 82% from 886 US$ in the 1^st quarter of the year 2000 to 1621 US$ in the 1^st quarter of the year current year 2023. Whereas the median wages paid to those with some college or associate degrees grew by over 68% from 590 US$ in the 1^st quarter of the year 2000 to 995 US$ in the 1^st quarter of the year 2023. On the other hand, the average weekly earnings of those with degrees less a high school diploma rose by a much higher rate with approximately 87% over the same period.