APPENDIX 10: SOCIAL EXTERNALITIES
APPENDICES
Education has a predictable and positive effect on a diverse array of social benefits. These, when quantified in dollar terms, represent significant social savings that directly benefit society communities and citizens throughout the region, including taxpayers. In this appendix we discuss the following three main benefit categories: 1) improved health, 2) reductions in crime, and 3) reduced demand for government-funded income assistance. It is important to note that the data and estimates presented here should not be viewed as exact, but rather as indicative of the positive impacts of education on an individual’s quality of life. The process of quantifying these impacts requires a number of assumptions to be made, creating a level of uncertainty that should be borne in mind when reviewing the results.
health-related areas that link to educational attainment, but these are omitted
25%
from the analysis until we can invoke adequate (and mutually exclusive) databases and are able to fully develop the functional relationships between them.
20% 15%
Despite a marked decline over the last several decades in the percentage of U.S. residents who smoke, a sizeable percentage of the U.S. population still smokes. The negative health effects of smoking are well documented in the literature, which identifies smoking as one of the most serious health issues in the U.S. Figure A10.1 shows the prevalence of cigarette smoking among adults, 25 years and over, based on data provided by the National Health Interview Survey.53 The data include adults who reported smoking more than 100 cigarettes during their lifetime and who, at the time of interview, reported smoking every day or some days. As indicated, the percent of who smoke begins to decline beyond the level
10% 5% 0%
100 + 92 + 78 + 69 + 32 + 19 Less than high school
SMOKING
Graduate degree
30%
Bachelor’s degree
alcohol dependence, obesity, depression, and drug abuse. There are other
Associate degree
The manifestations of this are found in five health-related variables: smoking,
Figure A 1 0.1 : P R E VA L E N C E O F S M O K I N G A M O N G U. S . A D U LT S B Y E D U CAT I O N L E V E L
Some college, no degree
Statistics show a correlation between increased education and improved health.
High school diploma/GED
Health
Source: Centers for Disease Control and Prevention.
of high school education.
53 Centers for Disease Control and Prevention. “Table. Characteristics of current adult cigarette smokers,” National Health Interview Survey, United States, 2016.
Appendix 10: Social externalities
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