The Job Market for Young Grads Is Flashing Red

Last month, the unemployment rate for recent college grads surged to nearly 6 percent. Compared to the overall economy's jobless rate, the unemployment rate for recent grads is higher now than in any month on record, going back at least four decades. Business school grads are struggling, too. Last year, The Wall Street Journal reported that elite MBA programs saw that their most recent classes had "worse job-placement outcomes last year than any other in recent memory." What’s going on? Today’s guest is David Deming, an economist at Harvard who studies education and the future of work. We walk through some plain-Jane theories about the weakening labor market for young college grads. But then, as you’ll hear, the conversation expands to consider the coming storm of AI—and how artificial intelligence is changing education and the workforce for young people. To read more on this topic, check out Derek's Atlantic column from last week. If you have questions, observations, or ideas for future episodes, email us at [email protected]. Host: Derek Thompson Guest: David Deming Producer: Devon Baroldi Learn more about your ad choices. Visit podcastchoices.com/adchoices