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"The quality of a public education greatly hinges on our efforts to sufficiently invest in our schools and teachers," the new report stresses, calling for "targeted and sustained investments."
The gap between the weekly wages of US public school teachers and other college graduates not only continued to grow last year, but "reached a record high," according to a report released Wednesday by a pair of think tanks.
Sylvia Allegretto, a senior economist at the Center for Economic and Policy Research and research associate at the Economic Policy Institute, found that this gap, known as the teacher pay penalty, grew to 26.9% in 2024, "a significant increase from 6.1% in 1996."
Allegretto tracked data back even further—to 1979, when teachers earned an average of $1,219 a week, while other graduates earned $1,580, adjusted for inflation. In 2024, those figures rose to $1,447 for teachers and $2,361 for other similarly educated workers.
The numbers above are simple averages. The researcher also aimed to "estimate weekly wages of public school teachers relative to other similarly situated college graduates working in other professions," accounting for "ways the two groups may differ fundamentally which typically affect pay on margins such as age, educational attainment, race/ethnicity, and state of residence."
She found a "nearly 30-year trend of relative teacher weekly wages increasingly falling behind those of other similarly qualified professionals." While the gap averaged 8.7% pre-1994, "the shortfall worsened considerably starting in the mid-1990s."
In 1996, "on average, teachers earned 73.1 cents on the dollar in 2024, compared with what similar college graduates earned
working in other professions—much less than the relative 93.9 cents on the dollar that teachers earned in 1996," the report says.
Allegretto also separated workers by gender, and found that while the relative female teacher weekly wage "was at a premium that averaged 3.3%" before 1994, "starting in 1996, the female gap quickly went from parity to a penalty, landing at a 21.5% penalty in 2024."
As the report details:
There is an important story behind the declining relative wages experienced by female teachers. Historically, the teaching profession relied on a somewhat captive labor pool of educated women who had few employment opportunities. This is thankfully no longer the case, but increased opportunity costs are a part of the story and reflected in these results. Expanding opportunities for women enabled them to earn more as they entered occupations and professions from which they were once barred.
In fact, the simple average weekly wages (inflation-adjusted) of female teachers compared with their nonteaching counterparts grew in lock step from 1979 until they started to diverge in the late 1990s. They were close to parity in 1996, when other female college graduates earned just 0.7% more than female teachers. But this divide grew nearly every year—reaching 40.9% in 2024.
Conversely, the trends in the weekly wages of male teachers compared with other male college graduates were never at parity. But like their female counterparts, men also experienced a considerable increase in the pay gap—from 24.1% in 1996 to 81.7% in 2024. Therefore, the regression-adjusted relative wages of male teachers have seen sizable penalties throughout the timeframe of this paper (1979–2024) and in my earlier analyses using 1960, 1970, and 1980 decennial Census data. Over the long run, the male relative penalty worsened from 20.5% in 1960 to 36.3% in 2024.
While all states and the District of Columbia have a wage gap between teachers and similar graduates, Allegretto examined how the penalties vary by state. The biggest penalties since 2019 were recorded in Colorado (38.5%), Alabama (34.3%), Arizona (33.8%), Minnesota (33.3%), and Virginia (32.7%), while the lowest were Rhode Island (10%), Wyoming (11%), New Jersey (12.7%), Vermont (13%), and South Carolina (14.1%).
Allegretto also acknowledged "the view that, on average in the US, teachers generally receive a larger share of their total compensation as benefits—such as health or other insurance and retirement plans—compared with other professionals."
From 2020-24, "the benefits advantage that favors teachers varied from 8.8% to 9.9%, but over the same timeframe the teacher wage penalty grew substantially. Thus, in 2024, the teacher total compensation gap widened to -17.1%—the largest on record," she wrote. "Of course, even if the teacher benefits advantage could exceed the large teacher wage penalty, the standard of living for teachers would likely fall, as they would have little in the way of earnings to make ends meet."
In 2024, teachers earned 73 cents for every dollar their similarly educated peers made, on average—a record low.In 1996, the gap was much smaller: teachers earned 94 cents for every dollar.We need to pay teachers more! How? By investing in public education. www.epi.org/publication/...
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— Economic Policy Institute (@epi.org) September 24, 2025 at 9:59 AM
The report says that trends from "the last three decades have no doubt already had profound consequences on teacher retention and recruitment," citing research on staffing challenges, college students forgoing teaching careers due to low wages, parents steering their children into professions that pay better, fast-tracking credentials in response to shortages, the heavy use of unqualified teachers, and the reliance on unqualified substitutes.
"The quality of a public education greatly hinges on our efforts to sufficiently invest in our schools and teachers," the publication stresses, calling for "targeted and sustained investments" at the local, state, and federal levels, and the expansion of collective bargaining.
"Regrettably, sustained and effective policy interventions capable of mitigating, much less substantially improving, the trends outlined in this long-running series have been lacking," concludes the report. "This is a troublesome reality, especially in the United States—a country that has more than enough resources and wealth to be the envy of public education around the world."
The publication comes as President Donald Trump works to dismantle the US Department of Education and elected Republicans, along with some Democrats, try to push tax dollars toward private and charter schools.
Amid such efforts this summer, Senate Health, Education, Labor, and Pensions Committee Ranking Member Bernie Sanders (I-Vt.) held a town hall with educators and introduced the Pay Teachers Act, which would ensure they earn at least $60,000 annually, require districts to give raises throughout teachers' careers, and provide at least $1,000 per year for classroom supplies.
"It is well past time that the U.S., E.U., and other powerful actors in the international community seriously reconsider this cruel and often counterproductive mechanism," said one of the study's authors.
A study published this week in the British medical journal The Lancet Global Health revealed that unilateral economic sanctions cause more than 500,000 excess deaths annually, prompting renewed calls for the United States to end its use of a form of collective punishment that claims roughly as many lives as all the world's current wars combined.
The study, authored by Francisco Rodríguez, Silvio Rendón, and Mark Weisbrot of the Center for Economic and Policy Research (CEPR), is the first to examine the "effects of sanctions on age-specific mortality rates in cross-country panel data using methods designed to address causal identification in observational data."
Studying the effects of sanctions on 152 countries between 1971 and 2022, the researchers "showed a significant causal association between sanctions and increased mortality," with "the strongest effects for unilateral, economic, and U.S. sanctions."
"We estimated that unilateral sanctions were associated with an annual toll of 564,258 deaths," the study's authors noted, "similar to the global mortality burden associated with armed conflict."
🚨 NEW REPORT: The myth that sanctions are a humane alternative to war is shattered. Sanctions imposed by single countries cause massive civilian deaths, with children under 5 hit hardest. bit.ly/Sanctions_Study
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— Center for Economic and Policy Research (@ceprdc.bsky.social) July 23, 2025 at 6:14 AM
Weisbrot, CEPR's co-director, said in a statement: "It is immoral and indefensible that such a lethal form of collective punishment continues to be used, let alone that it has been steadily expanded over the years. And sanctions are widely misunderstood as being a less lethal, almost nonviolent, policy alternative to military force."
The researchers found that children younger than 5 years old made up 51% of all sanctions deaths during the three-decade study period. More than three-quarters of all sanctions deaths between 1971-2022 were of children under age 15 and people over 60.
The study also noted the repeated failure of U.S. sanctions to deliver policy goals like regime change. However, such measures have caused economies to collapse, harming everyday people far more than ostensibly targeted leaders, who have the power and resources to shield themselves from the worst effects of sanctions.
"Sanctions often fail to achieve their stated objectives and instead only punish the civilian populations of the targeted countries," said Rodríguez. "It is well past time that the U.S., [European Union], and other powerful actors in the international community seriously reconsider this cruel and often counterproductive mechanism."
For six decades, the U.S. has imposed a crippling economic embargo on Cuba that has adversely affected all sectors of the socialist island's economy and severely limited Cubans' access to basic necessities including food, fuel, and medicines. The Cuban government claims the blockade cost the country's economy nearly $5 billion in just one 11-month period in 2022-23 alone. United Nations member states have perennially—and overwhelmingly—condemned the embargo.
In Venezuela, as many as 40,000 people died in 2017-18 due to U.S. sanctions, CEPR researchers found.
Some critics have noted that civilian suffering appears to be more than an incidental cost of U.S. sanctions—it is apparently often their very intent. Historian Arthur Schlesinger Jr.—a confidant of former President John F. Kennedy—claimed that JFK sought to unleash "the terrors of the Earth" on Cuba following Fidel Castro's successful overthrow of a U.S.-backed dictatorship, because "Castro was high on his list of emotions."
While the new study "found no statistical evidence of an effect" for United Nations sanctions, Mary Smith Fawzi and Sarah Zaidi conducted research for the U.N. Food and Agriculture Organization that was published in The Lancet in 1995 and revealed that as many as 576,000 Iraqi children died prematurely as a result of sanctions imposed by the U.N. Security Council—whose sanctioning capacity was heavily influenced by the United States—to target the regime of longtime Iraqi leader Saddam Hussein.
"Discussions in the 1990s on the effects on child mortality of sanctions on Iraq strongly influenced policy debates and were one of the main drivers of the subsequent redesign of sanctions on the government of Saddam Hussein," the authors of the new study wrote, citing Fawzi and Zaidi's research.
With Hussein's regime unmoved by the sanctions, Madeleine Albright, then U.S. secretary of state under President Bill Clinton, was asked if the human cost was too high. Albright infamously replied that "the price is worth it."
Instead of strategically imposing tariffs, Trump has chosen to "give the country the most massive tax increase in its history, possibly exceeding $1 trillion on an annual basis."
As stocks "nosedived" on Thursday, economists, policymakers, and campaigners around the world continued to warn about the impacts of U.S. President Donald Trump's trade war, which includes a 10% universal tariff for imports and steeper duties—that he claims are "reciprocal"—for dozens of countries, set to take effect over the next week.
"This is how you sabotage the world's economic engine while claiming to supercharge it," wrote Nigel Green, CEO of the international financial consultancy deVere Group. "Trump is blowing up the post-war system that made the U.S. and the world more prosperous, and he's doing it with reckless confidence."
As Bloomberg detailed after the president's "Liberation Day" remarks from the White House Rose Garden:
China's cumulative tariff rate of 54% includes both the 20% duty already charged earlier this year, added to the 34% levy calculated as part of Trump's so-called reciprocal plan, according to people familiar with the matter. The European Union's rate is 20% and Vietnam's is 46%, White House documents showed. Other nations slapped with larger tariffs include Japan with 24%, South Korea with 25%, India with 26%, Cambodia with 49%, and Taiwan with 32%.
In Europe on Thursday, "the regional Stoxx 600 index provisionally ended down around 2.7%," while "the U.K.'s FTSE 100 was down 1.6%, with France's CAC 40 and Germany's DAX posting deeper losses of 3.3% and 3.1%, respectively," according to CNBC.
In the United States, CNBCreported, "the broad market index dropped 4%, putting it on track for its worst day since September 2022. The Dow Jones Industrial Average tumbled 1,200 points, or 3%, while the Nasdaq Composite fell 5%. The slide across equities was broad, with decliners at the New York Stock Exchange outnumbering advancers by 6-to-1."
American exceptionalism.
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— Justin Wolfers ( @justinwolfers.bsky.social) April 3, 2025 at 12:14 PM
However, as Economic Policy Institute (EPI) chief economist Josh Bivens noted last week, "because most households depend overwhelmingly on wages from work as their primary source of income and not returns from wealth-holding, the stock market tells us nothing about these households' economic situations."
And Trump's tariffs are expected to hit U.S. households hard, as the cost of his taxes on imports are passed on to consumers.
"Tariffs can be a legitimate and useful tool in industrial policy for well-defined strategic goals, but broad-based tariffs that significantly raise the average effective tariff rate in the United States are unwise," Bivens and EPI senior economist Adam Hersh stressed in a Thursday statement—which also called out Trump for mischaracterizing one of the think tank's 2022 analyses.
"Further, the second Trump administration's rationale, parameters, and timeline for tariffs have been ever-shifting," Bivens and Hersh continued. "As the original post cited by the administration argues, tariffs should not be a goal unto themselves, but a strategic tool to pair with other efforts to restore American competitiveness in narrowly targeted industrial sectors."
Instead of strategically imposing tariffs, Trump has chosen to "give the country the most massive tax increase in its history, possibly exceeding $1 trillion on an annual basis, which comes to $7,000 per household," warned Center for Economic and Policy Research co-founder and senior economist Dean Baker. "And this tax hike will primarily hit moderate and middle-income families. Trump's taxes go easy on the rich, who spend a smaller share of their income on imported goods."
Baker—like various other economists and journalists—also took aim at Trump's claims that the tariffs are reciprocal, explaining:
Trump's team calculated our trade deficit with each country and divided it by their exports to the United States. Trump decided that this figure was equal to that country's tariff on goods imported from the U.S.
Trump's method of calculating tariffs is comparable to the doctor who assesses your proper weight by dividing your height by your birthday. Any doctor who did this is clearly batshit crazy, and unfortunately so is our president. And apparently none of his economic advisers has the courage and integrity to set him straight or to resign.
However, outside Trump's administration, the intense criticism continued to mount, including from groups focused on combating the fossil fuel-driven climate emergency, which also endangers the global economy.
Andreas Sieber, associate director of policy and Campaigns at 350.org, said Thursday that "Trump's tariffs won't slow the global energy transition—they'll only hurt ordinary people, particularly Americans."
"Despite his claims he 'gets' economic policy, his record tells a different story: Tariffs are tanking U.S. stocks and fueling inflation," Sieber added. "The transition to renewables is unstoppable, with or without him. His latest move does little to impact the booming clean energy market but will isolate the U.S. and drive up costs for American consumers."
Allie Rosenbluth, U.S. campaign manager at Oil Change International, similarly emphasized that "Trump's tariffs will hurt working families first and foremost, raising costs for essentials we depend on and threatening to plunge the U.S. economy into a recession. Though Trump pretends to care about the cost of living for ordinary people, his real loyalties lie with his fossil fuel industry donors."
"If he actually cared about energy affordability, he would stop bullying other countries into buying more U.S. liquefied natural gas (LNG), which boosts the fossil fuel industry's profits, but results in increased prices for domestic consumers and pushes us further toward climate catastrophe," she asserted. "The one step countries can take to hit Trump where it hurts most is wean off their dependency on fossil fuels from the United States."
The impact of Trump's new levies won't be limited to working-class people in the United States. Nick Dearden, director of U.K.-based Global Justice Now, pointed out that "Trump has set light to the global economy and unleashed a world of pain, not least on a group of developing countries that will suffer tremendous impoverishment as a result of his punitive tariffs."
"All those affected must come together and stand up to this bully by building a very different international economy that promotes the interests of ordinary people rather than the oligarchs standing behind Trump," he argued. "For all its scraping and crawling, the U.K. got no special treatment here, and the government should learn this lesson fast: They need to stop giving away our rights and protections in a futile effort to appease Donald Trump."
Leaders in the United States are also encouraging resistance to Trump. U.S. Sen. Chris Murphy (D-Conn.) said Wednesday that "this week you will read many confused economists and political pundits who won't understand how the tariffs make economic sense. That's because they don't. They aren't designed as economic policy. The tariffs are simply a new, super dangerous political tool."
Murphy made the case that "the tariffs are DESIGNED to create economic hardship. Why? So that Trump has a straight face rationale for releasing them, business by business or industry by industry. As he adjusts or grants relief, it's a win-win: the economy improves and dissent disappears."
"But as long as we see this clearly, we can stop him. Public mobilization is working. Today, a few Republicans joined Democrats to vote against one set of tariffs," he added, referring to a
resolution that would undo levies on Canadian imports. "The people still have the power."