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Our society has long taught us that getting a college degree was a sure way to long-term employment and financial security. Unfortunately, those days are gone. The number of recent college grads who can't find work, or who can find only part-time retail or restaurant jobs that don't require an education, grew by more than 70 percent over the past two years. The unemployment rate among young Americans—age 16 to 24—now stands at 18.9 percent. And while that number includes workers with only high school diplomas—who have a hard time finding work even in good times—there's no getting around the grave reality: a degree is no longer a guarantee for employment.
A study by the Economic Policy Institute shows young Americans have become so discouraged by their job prospects that they are leaving the labor force "in droves." Since the recession began, EPI says 1.3 million young workers have dropped out of the job hunt. And it's not just young Americans who are discouraged; workers of all ages are struggling—there are currently 4.1 job seekers per every available job.
When my wife and I graduated from college, we did what other college grads did: went to work for someone. While we will encourage our children to get a college degree, this economy has been a wakeup call to us as well. We think it will be more beneficial to our kids' long-term success to show them the value of entrepreneurship. We are so glad we have been able to teach our children to go out and create their own opportunities instead of waiting for others to provide them.
Our company grew last year by 9.9%. When I think of all of our friends who are unemployed or underemployed, I am so thankful that I have a business that has prospered, even in one of the toughest economies we have seen since the great depression.