Is Mo’ Money the Solution to the STEM Job Shortage?

Governor Ralph Northam. Photo credit: Daily Progress

Speaking at the Charlottesville Regional Chamber of Commerce yesterday, Governor Ralph Northam enumerated the main challenges he sees for Virginia’s business environment: diversifying regional economies, creating more opportunity in rural communities, providing dedicated funding for the Washington Metropolitan Area Transit Authority, and reforming state taxes and regulatory structures. Reports the Daily Progress:

The Democratic governor tied most of these problems to two solutions — well-funded schools at all levels and Medicaid expansion, arguing the federal Medicaid funding would allow more state money to be spent in other areas.

“We need to diversify our economy by understanding what the jobs of the 21st century are,” Northam said, citing biotechnology, data collection and data analysis.

“We do that through having excellent colleges and universities that are affordable to all Virginians, but also through supporting and marketing community colleges,” he said. “There are thousands of good, high-paying jobs that don’t require a four-year education.”

Medicaid expansion might pay for itself, but let’s just say I’m skeptical that it will actually save the state money. How many other states that have enacted Medicaid expansion make the claim that they have freed up spending for other priorities? But that’s a side issue.

Of greater interest is Northam’s observation that there are “thousands of good high-paying jobs that don’t require a four-year education.” He is absolutely right about that. He seems to be suggesting — although it’s not entirely clear — that Virginia needs to spend more money to help ameliorate the problem.

As Bacon’s Rebellion readers know, I tend to be skeptical that waving the magic money wand fixes many problems. I’d like to see an analysis of why Virginia’s educational/workforce training system has been unable to meet the demand for STEM jobs.

It is widely known, for example, that there are widespread job shortages in the IT sector. One plausible explanation is limited teaching capacity — there just aren’t enough college and university courses in which to enroll, and existing classes are so full to the brim that would-be IT practitioners are being turned away. Is that, in fact, so?

If there is a capacity shortage, why is there a shortage? Are colleges, universities and even for-profit career schools too dim-witted to see the business opportunity and expand the course offerings? Or, alternatively, do they see the opportunities but are having trouble recruiting instructors to staff the courses?

What if the supply of students is the problem? It is widely acknowledged that STEM programs have high drop-out rates because many American students can’t handle the work. What if the problem is that high schools are not preparing students for college-level STEM work? What if American students don’t have the self-discipline to perform demanding work with right-and-wrong answers?

Finally, what kind of workforce credentials are needed to fill these STEM jobs? Do employers crave workers with certifications that can be obtained at community colleges or for-profit career schools? Or do they need employees with B.A.-, M.A.-, or Ph.D.-level degrees obtainable only through advanced programs? Presumably, both are needed. But what is the proper mix? If more funding is the answer, what is the proper distribution between community colleges and four-year institutions?

I’ve not seen any of this analysis. And I have no confidence that we truly understand the nature of the problem or how best to invest public dollars. Virginia doesn’t have the luxury of throwing dollars at problems we don’t understand. We need to act upon hard evidence, not conjecture.