College degree means more depending where you live

The high school graduating class of 2020, circa COVID-19, had many social disappointments. No prom, a stay-at-home spring break and worst of all, no opportunity to walk across the stage, grab a scrolled diploma and hear elated family members scream their name from nosebleed seats in the bleachers.

At last, though, there’s good news for young people in the Constitution State. Last month, the Board of Regents for Higher Education announced that virtually all first-time college students can enroll in Connecticut community colleges for free this fall. While additional funding would be required to continue the scholarships in the spring, this overture rolls out the welcome mat for students on the fence about their pandemic-tainted future.

Indeed, sky-high unemployment rates and uncertainty around what college might look like in the fall has prompted many high school graduates to rethink their college plans. The latest national poll shows that about one-third of them now say that they may defer or cancel college attendance this fall. Here’s hoping the regents’ decision convinces some of these young people in Connecticut to choose college over the couch.

A change of heart is particularly important since workers with more education, on average, strongly out-earn those with less. Yet what is true on average can sometimes mask underlying differences. Where you live can affect how much you earn since local labor markets, the cost of living and the cost of college all play a part.

It turns out that’s particularly true in Connecticut. A new report published by our organization and authored by economist John Winters, “What You Make Depends on Where You Live,” finds that, on average, Connecticuters with bachelor’s degrees earn 65 percent more than those with associate degrees ($118,454 versus $71,594 for full-time, full-year workers) and almost double (96 percent more) that of workers with high school diplomas.

This statewide statistic doesn’t tell the full story, though. Take the Bridgeport-Stamford area (population 944,000). Out of over 100 metro regions examined in the report, Bridgeport has the largest earnings advantage in favor of those with bachelor degrees (versus those with associate degrees). On average, residents there with a four-year degree earn a whopping $166,463 annually, while those with two-year degrees earn a still-impressive albeit lower salary of $83,495. Of course, that nearly-100 percent difference in favor of bachelor’s degrees reflects the fact the BridgeportStamford is just an hour train ride away to the Big Apple, where the demand for highly educated labor is particularly strong.

Contrast that with the state’s other large metro area, Hartford (population 1.2 million). On average, Hartford workers with bachelor’s degrees earn 46 percent more than their associate degree brethren ($103,515 versus $70,697) — less than half the premium enjoyed by college-educated Bridgeport-Stamford residents.

Then there’s New Haven-Milford (population 858,000), where the average earnings premium enjoyed by bachelor’s versus associate degree holders shrinks to just 35 percent ($90,709 versus $67,040). New Haven’s smaller size likely contributes to these more narrow margins.

In short, both proximity to New York City and the size of a metro region appear to positively impact college-educated workers in Connecticut. This reflects a national pattern whereby larger cities tend to see greater financial advantages to higher education than do rural areas or areas outside cities.

In fact, nationally, the bachelor’s-versus-associate-degree premium ranges from 34 percent in the smallest cities to 56 percent in the largest. Moreover, in the rural regions of New England, workers with bachelor’s degrees on average make just 24 percent more than those with associate degrees.

Information on earnings differences between two- and four-year degrees matter. That’s because, let’s face it, not every young person wants to get a bachelor’s degree or to work a white-collar job. Others can’t afford the exorbitant costs of a traditional college or university, especially now with a weakened economy.

That’s why the option to enroll tuition-free in a community college this fall is such a gift, especially for those who were on the fence about their plans. Here’s hoping they enroll, study hard and take advantage of the many opportunities those colleges have to offer, including marketable two-year degrees and technical certificates, as well as smooth entry into a four- year college or university. But, as students decide among those choices, allow us to add another consideration: where they want to live after college.

Because if high school graduates don’t take geography into account, they may waste not only a free semester of community college, but precious time, money, and effort.

Brian A. Pounds / Hearst Connecticut Media Flight of Luminescence, a commissioned sculpture by New Hampshire artist Soo Sunny Park, was unveiled in a ceremony at Housatonic Community College in Bridgeport in March.