In late February, students from numerous high schools across the U.S. embarked on an international journey through the inaugural Economics Olympiad. The top five U.S. contestants will voyage to the ancient plains of Olympia, Greece to face off against talented peers from various nations. Despite its merit, economics remains an undervalued subject in American education, overshadowed by the rising influence of STEM fields.
The National Assessment of Educational Progress reveals a troubling statistic: the last assessment in 2012 showed that over half of the 11,000 tested 12th-graders were below ‘proficient’ in economic literacy. Many of these students approached their third presidential election in November, with economic concerns looming large amid the political discourse.
Shockingly, only 27 states, alongside the District of Columbia, mandate any economics coursework for high school graduation. Often this coursework is constrained to personal finance skills, such as cheque balancing, neglecting a deeper understanding of economics as a peaceful means of societal progress and transactions. This narrow focus may explain the prevalence of policies that cater to specific groups rather than fostering a robust, flourishing economy.
Understanding economics is crucial for policymakers, who often miss the fundamental insight that every choice comes with a cost. This ripple effect is prevalent; every decision shapes the opportunities available and compounds over time, just like accrued interest.
When policies consider both the visible and unseen costs, they may encourage economic growth. In contrast, those that only weigh immediate impacts risk stunting other vital sectors of our interconnected economy. A relevant example from the Federal Reserve showed that U.S. household debt reached $4.96 trillion by the end of September, attributable to millions of individual economic choices. Moreover, the entire federal debt eclipsed $36 trillion, creating an economy burdened by poor decisions and a huge shortfall looming in cities, such as Chicago’s $982 million budget deficit.
Public decisions resonate through society; California’s costly high-speed rail project exemplifies this, ballooning from a $33 billion estimate to over $125 billion, all while essential infrastructure crumbles. Such financial decisions sound alarmingly casual in political circles, reminiscent of Everett Dirksen’s reflective quip about trivialising large sums.
The importance of robust economic understanding among policymakers cannot be overstated. While STEM subjects fuel innovation, a thriving economy is its crucible. Hence, economics deserves its place as a fundamental subject in our high schools. Without a grounding in key economic principles, students are left ill-equipped to navigate the complexities of adult life, leading to repeated mistakes by today’s decision-makers. Ultimately, while STEM fields are essential, economics will shape our destiny.
The Economics Olympiad is a challenging competition showcasing talented high school students, with the top U.S. contestants set to compete in Greece. However, the decline of economics education in American schools has implications for students’ economic literacy. Many public officials lack a foundational understanding of economic principles, leading to poor decision-making. A robust economic education is essential for fostering responsible citizens, underlining that while STEM is vital, economics shapes our destiny.
The Economics Olympiad highlights the critical need for economic education, especially as many U.S. students lack fundamental knowledge in this essential subject. The neglect of economics in many high school curricula deprives future citizens of the skills necessary to make informed decisions. Understanding the costs associated with choices is crucial for effective policy-making and societal progress. As we look towards the future, nurturing economic literacy among students is vital; for indeed, economics is destiny.
Original Source: prescottenews.com
