Amen, we have a friend who spent 12 years getting a PhD in Russian History only to get out and face no job prospects. Depressingly, every year he gets ready for the one History Job fair that happens in January, flies down there and presents himself at interviews. 3 years later he still actually believes that he has a chance at getting a job after being out of the game a while. He has no sense to pivot, no sense that maybe he needs to find a new calling in life and utilize his skills in another fashion.
Contrastingly, we knew another PhD in Chemistry from Cornell. He got out and hated academia, but still loved teaching. He decided to teach chem and physics at some fancy prep high school and is doing well for himself.
To me these people need to understand that if they can't find their place quickly to scale that pyramid need to find a more general use for their skills.
There's perseverance and then theres a false sense of hope.
The guy who developed a proof to Fermat's Last Theorem worked on it for seven years. I suspect people laughed at him, told him he would never succeed, told him he should do other things.
After he came up with the solution, he was knighted: http://en.wikipedia.org/wiki/Wiles%27_proof_of_Fermat%27s_La...
I don't think that's true. IIRC, Wiles was pretty successful before he started the work (tenure at Princeton?), worked on it secretly, and still published (though at a lower rate) to cover his secret.
--Paul Graham from http://www.paulgraham.com/love.html
To put it simply much of the time higher education is consumption not investment. Overspending on anything be it Roads, Medicine, the military, or Education is simply wasteful. And not just for the teaching staff your taking a large number of talented young people and keeping them fully engaging in the workforce for an extended period of time.
I only realized it afterwards, but many people are simply incapable of working by themselves without being given precise instruction: PhD teaches you that in some way (of course, there is a selection bias). It also trains you to communicate to other, which is a very valuable skill. You are also used to being criticized on somehow objective criterion: few people are able to take critics in any other way than personal. Finally, you almost always learn tenacity.
For me, saying that PhD is a bubble because there are few academics positions is like saying being an entrepreneur is a bubble because so few people become very rich. Even failure teach you a lot (where failure would be defined as not becoming an academic in the PhD case).
Here's the source of the problem as I see it. The PhDs I know are largely risk intolerant and stay in academia because it's a comfortable way to pursue their passion. They're used to asking for permission and people evaluating them along very specific guidelines. When they enter the real or corporate world, they're used to this attitude of asking for permission to do things. They expect universities or corporations to find a use for their talent instead of architecting one themselves.
So what is their economic use? They need to figure that out. One solution would be to design a system that prepares them better for a world that's a lot more dynamic than their specific area of expertise might be.
I don't think we gain much by assuming that a person with a PhD is only good for one thing when trying to find another use for them.
Further, most auxiliary careers, such as political analysts, draw from academia.
So, if this is your top talent, you only have a few options, and other than law, academia actually is one of your best chances to use your top talent.
It's a bit like athletics in this society. If you are very strong and very fast, you have a very limited amount of economically viable options for you. The NBA is a long, long shot, but if you are 6'9 and fast, and that is your primary talent, what do you do?
Wow, can you point me to a reference for this statement? I find it remarkable.
However, I've tried motivating some former colleagues to make the switch and they just won't so maybe you have a point. But I would refrain from stereotyping.
My cohort at school, on average, was smarter and harder-working than I was - I'm sure they could do exactly the same thing, if they wanted to. Or, for that matter, they could do anything else they wanted.
The issue isn't that there's no economic use for these people. The issue is that there's (close to) no economic use for what they really, really, really want to do.
Given more thought, I'm sure I could come up with more. There's definitely value in critical thinking. Whether PhD programs are the most economically efficient way to use their skills is something I don't know.
Journalism and freelance writing are both places many end up, but both are also fields where there is more supply than demand.
What's wrong with the lawyer profession? Last I checked good corporate lawyers make $300-$500/hour. My inexpensive corporate attorney is somewhere around $250/hour I think. Good divorce laywers are impossible to find, and the ones that are there are spoiled they can afford not to return their clients calls for days and days.
There appears to be a serious shortage of those types of lawyers, and it's exactly good fit for the kind of people you described.
http://www.theatlantic.com/business/archive/2011/01/you-know...