American Brain Drain
Kids are leaving small towns across America and never coming back
Key Takeaways
· The widespread departure of ambitious young individuals from small towns to pursue higher education and career opportunities in metropolitan areas has left many non-metro regions economically disadvantaged and culturally diminished.
· The increase in college graduates has led to significant student debt and an oversupply of degrees with limited marketable skills, contributing to the hollowing out of non-metropolitan America and creating economic disparities.
· By implementing educational reforms that promote non-4-year-college career pathways, reducing the cost of higher education, and introducing innovative financial models to minimize student debt, small towns can rejuvenate and foster a new era of growth.
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From a young age, the boy knew he wanted to leave his small town and pursue a college education far away. By high school graduation, his hard work paid off, and he was accepted into an out-of-state university. Despite higher tuition costs, he managed by taking out a student loan.
This story, often with a “she” protagonist, has played out millions of times across America over the last century. Initially, communities coped with these departures. This was the classic American dream: ambitious youth seeking opportunities in big cities. But as educational attainment in the U.S. increased, the trickle of departures turned into a flood. This phenomenon, known as brain drain, leaves many small towns struggling to retain their young talent.
Left-behind areas often talk about the problem of brain drain as if it uniquely affects them. However, brain drain is a widespread systematic phenomenon in America, and is driven by an educational system that needs to be reformed for the 21st century. In this article, I will explore the causes of brain drain, examine its consequences, and propose solutions to revitalize local communities.
Old American model
Ambitious kids have always left small towns and tried to make it in big cities. The story has been told so many times that it has become a Great American literary trope. But far fewer people used to attend college. In 1940, only 4.6%[i] of people under the age of 25 had a Bachelor’s degree or higher. For the most part, the other 95% of people lived their lives near where they were born. They worked at local businesses they owned and started. They bought houses and local goods. When they retired, they served on local boards and gave back. This model sustained America for much of its history.
New American model
By the 2020s, over one-third of Americans over 25 held a Bachelor’s degree or greater. While increased educational attainment is positive, it has led to significant student debt and an oversupply of graduates with degrees that don't always provide marketable skills. By 2022, student loan debt exceeded $1.75 trillion[ii], diminishing the value of a college degree.
Hollowed out America
When people say that America has been hollowed out, it can mean different things. The loss of American industry and jobs to overseas provinces is one way that America has been hollowed out. The loss of the middle class and income inequality is another hollowing. But the widespread loss of human capital is in many ways the most pernicious sort of hollowing.
Today, young people often leave for college and then settle in major metropolitan areas. This has led to a collection of superstar metro areas and widespread brain drain everywhere else. To illustrate the point, approximately 90%[iii] of America’s $27 trillion GDP is produced in metro areas.
In the left behind areas, out-of-town corporations and financiers now own the businesses and, in the best cases, do not understand the needs of the communities they serve. In the worst cases, these out-of-town actors make self-serving decisions that harm the communities in which they operate.
It was not always this way. Before systematic American brain drain, the sons and daughters of a community lived, worked, and invested in the places they were from.
Heartland Revival
But times are changing and the left behind places are coming back. The combination of remote work and affordable housing is a big driver of this revitalization.
To help this process, America's education system must be reformed.
First, there need to be more non-4-year-college pathways to a career that can support a family. These should include vocational training, apprenticeships, and 2-year college programs. Equally important, the social stigma associated with not attending 4-year-college must end.
Second, the cost of college must be radically reduced. Massively cost-reducing technologies such as online classes and AI should be embraced in higher education.
Third, new financial models must be devised so students don't leave college with huge student debt loads. One innovative example is the Student Debt Project at McPherson College in McPherson, Kansas. Students enrolled in this program must work part time but get a match from the college for the wages they earn towards their tuition. Many students graduate with little or no debt.
Small schools in the left behind parts of America are best positioned to institute these changes. They don't have an existing brand to protect or powerful alumni bases to satisfy. By becoming educational disruptors, these schools can offer excellent educational opportunities in non-metro America.
American Brain Drain has left many small towns across the country struggling to retain their young talent, as ambitious individuals pursue higher education and career opportunities in metropolitan areas. This exodus has hollowed out non-metro regions, leaving them economically disadvantaged and culturally diminished. However, a resurgence is underway and educational reforms that emphasize diverse career pathways, affordable higher education, and innovative financial models to reduce student debt can accelerate the process. By embracing these changes, small towns and local institutions can become educational disruptors, fostering a new era of growth and revitalization in America.
[i] US Census
[ii] Fed
[iii] https://www.newcapitalmgmt.com/news/the-largest-15-us-cities-by-gdp