U.S. Colleges and Universities Boast High Entry Rates, Less Attainment

While it appears that federal programs in the U.S. have succeeded in efforts to increase enrollment in higher education, the nation has fallen behind in retaining college graduates, according to a new report from the Organisation for Economic Co-operation and Development (OECD).

Education at a Glance 2004 is a comprehensive report on education systems within the organization’s 30 member countries. Statistics in the report provide a basis for policy debate and decisions, according to OECD, and this year’s report highlights factors affecting the future supply of qualified people and the relationship between educational attainment, employment and earnings.

U.S. Secretary of Education Rod Paige said the report confirms that in every country, education and earnings are strongly linked and the benefits are not limited to individuals, but include increased workforce productivity and technological progress.

Although the U.S. has an above average rate of entry in higher education, the dropout rate from first-degree programs is 34 percent -- higher than the OECD average of 30 percent and almost six times higher than in Japan, which has only a 6 percent dropout rate.

The U.S. reported a 64 percent entry rate, a figure reported on a new basis this year, which includes entry to associate and bachelor degree programs. Average entry rates for OECD countries are around 50 percent, measuring only bachelor degree programs or higher. Australia had the highest entry rate with 77 percent, followed by Finland with 71 percent and Iceland with 72 percent.

U.S. attainment rates among those aged 55-64 and 45-54 ranked first; however, no gain was reported for younger age groups as the U.S. still ranks second behind Norway among 25- to 34 year-olds. According to the report, other countries with lower levels are closing the gap. Korea, for example, ranks 21st in attainment for 55- to 64-year-olds but is tied for third with Canada among 25- to 34-year-olds.

The report suggests that the financial pressures facing higher education expansion provide an added strain in retaining graduates. In seven of 24 OECD countries, spending on higher education institutions has not kept pace with expansion of enrollment, resulting in decreased expenditure per student since 1995, the report shows.

Findings also indicate that more people worldwide are completing university courses and other forms of higher education, although progress is uneven across countries with some nations falling significantly behind. Across OECD countries, 32 percent completed a first university-level degree and enrollment increased more than 50 percent between 1995-2002 in the Czech Republic, Greece, Hungary, Korea, and Poland. However, in eight OECD countries, the report shows that 20 percent or more of those aged 20-24 have lower than secondary school qualifications. Mexico fared worst, with 70 percent of the population extending into this category.

Education at a Glance 2004 can be purchased from OECD at http://www.oecd.org.