Your brain gets smart but your head gets dumb
--Smash Mouth
This cartoon is a reminder that formal education is not the most vital component of standard of living improvement.
Standard of living improves as productivity improves. The binding constraint in productivity improvement is unlikely to be formal education. Because knowhow can be transferred, it is not the scarcest of resources. Currently, we have more people carrying more diplomas and degrees than at any time in history. Yet prosperity is not growing commensurately.
Instead, the critical resource is likely to be capital. Capital comes from savings. When no savings exist to fund productivity improvement, then standard of living stagnates.
In fact, savings could be squandered thru borrowing binges that fund advanced levels of formal education. This may be occurring now.
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There can be no greater stretch of arbitrary power than is required to seize children from their parents, teach them whatever the authorities decree they shall be taught, and expropriate from the parents the funds to pay for the procedure.
~Isabel Paterson
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