College: A One Sided Sorting Mechanism

I recently listened to an excellent EconTalk podcast with Arnold Kling discussing technological changes in higher education.  Kling pointed out the main role universities play is sorting, not forming.

There is a somewhat romantic idea among the populace that education molds and shapes young lumps of clay into the men and women they ought to be.  In this view, what school you attend is very important, because they have the power to mold you for better or worse.  Kling combats this notion by reference to studies that have tracked students accepted to Ivy League schools: They achieve the same level of success whether they attend the Ivy League school or choose instead to go to a lower ranked college.  In other words, it’s the type of student that goes to Harvard, not the type of student Harvard creates, that makes for success.

For employers, this sorting mechanism significantly reduces their hiring cost.  Kling described the process as a coin sorting machine, where you dump in a pile of loose change and is sorts all the quarters, nickels, dimes and pennies.  An employer looking for a certain skill level would be at great pains to sort all the applicants, but the type of institution from which they have a degree does a lot of the work for them.  What a student majors in also play a part in the sorting process.

Though this works reasonably well for many employers, it’s pretty inefficient.  Does it have to take four years and a few hundred thousand dollars to sort out who excels at what and who’s worth interviewing for which roles?  The signal sent by many degrees is getting weaker as more and more students flood into schools.  With the exception of the top schools, many middle of the road universities have turned into massive degree mills.  The printing of more degrees makes those already in circulation worth less to employers.

But there seems to me a worse problem.  Even if college serves as an effective sorting mechanism for employers, it is seriously deficient as a sorting mechanism for employees.  After all, a career is a two sided affair.  It’s not a matter of businesses finding out what you’re good at and allocating you there; it’s primarily about you finding what you love and what helps you get the most of what you want for the least of what you don’t.  The student needs a sorting mechanism to discover what industries, what kinds of work, and what companies they like.  College doesn’t have a lot to offer here.

Most degrees do not entail any kind of on the ground experience in the business world.  In fact, most classes don’t even talk about what different kinds of work are like.  You may enjoy learning philosophy, but that fact alone doesn’t do a lot to tell you which career paths are your quarters, nickels, dimes and pennies.  Students spend tens of thousands and a good chunk of their time tumbling through a system that gives employers some valuable info about who they are, but it provides the student with little info about who these employers are.  It’s like a dating service where only one side gets to view the profile.  It’s not uncommon for graduates to spend the first five or ten years of their career discovering what kind of career they want to have.

There are a lot of things students can do to remedy this problem.  They can seek knowledge, ask people with experience, take a wide range of courses, and explore different majors.  But at the end of the day, nothing beats genuine experience in the world of commerce.  As it is, most students are expected to cram that in an internship for a semester or two.  That’s a lot of time and money to burn if you don’t walk away with a good idea of what makes you come alive.

Why Don’t Universities Try Something Crazy?

What if a university decided to try something crazy: What if they hired professors based entirely on the quality of their research and/or teaching?

Imagine if the hiring committee dropped all other criteria.  They ignored where the applicant got their degree, or even if they had one.  They ignored who they studied under.  They ignored which journals they were published in, or where they presented papers.  They examined in depth the quality of the research; the ideas, the writing, the breadth and implications of the work, the ability to draw on multiple thinkers to make a serious and credible case.  They tested, in front of real classrooms, the teaching skills and took seriously student feedback in person and things like ratemyprofessor.com.

If they wanted top researchers, they focused only on that.  If they wanted great teachers, they focused only on that.  If they wanted someone who was good at both, they focused on both.

This would seem common-sense in any other business, but it sounds radical in academia.  Of course there is value in the filtering mechanisms of degrees granted by prestigious programs, of publications that make it into the top journals.  There is value to the university in hiring people with prestigious repuations.  School ranking, the protective journal publication process, and all the credential hierarchies exist for a reason and they provide valuable signals.  They make the hiring committees job easier, as they have to do less serious digging themselves, and can rely on the stamp of approval given by others.

All that is well and good, but still I wonder what would happen if a pioneering university just scrapped it all. Would they suffer?  In what way?  If a university made very public that they no longer cared about anything but excellent teaching, excellent knowledge of subject matter, and excellent research, wouldn’t it attract some excellent job applicants, some of whom may not have PhD’s at all?  Wouldn’t it attract some interesting and excited students?

I understand the basic incentives in the university system, but it still seems to me there would have been by now some entrepreneurial president who would have tried to break free from the institutional norms and tried something like this.  Maybe the time is near.

Most People Go to College to Feel Normal

Most people don’t go to college to learn. That can be done much easier and less costly in myriad other ways.

Most people don’t go to college to become well-rounded. That can happen through any number of experiences.

Most people don’t go to pick a career. They could try working different jobs to learn quicker, and most don’t work in what they major in anyway.

Most don’t go for the practical value of the credential. I’ve never met a college student who actually inquired with employers what they view as the best credential.

Most people don’t even go to college for the social experience. How many examine all the ways to meet people, party, etc. and firmly conclude college is the best way for them to have fun?

Most people go to college to be normal.

It’s the normal thing. They want to meet normal people, make normal friends, learn normal facts, have normal experiences, and appear normal to family, friends, and future employers. They take it on faith that college is good, beneficial, educational, career-enhancing, a great social experience, worth the cost, etc., rather than really examine these oft repeated tropes. They want them to be true because they want to list these normal reasons for doing what’s normal.

College can be great. Besides, it’s too late for most of us to consider alternatives. But if you are pre-college, ask yourself what you really want out of it. Look long and hard at other ways to get what you want. Weigh the costs. Be prepared if you find college is not the best way…you may discover your best path is not normal. Are you ready and willing to bear the social costs of an abnormal choice? It might be worth it.