School bells ring and students return to classrooms. While some elements of the curriculum made headlines during the spring and summer, there’s been no mention of the need for economic education. 

But who needs economic education? Right?

Consider some of the numbers. According to the Experian Consumer Credit Review, consumer debt as of November 2020 topped $14.2 trillion in the United States with Americans carrying an average personal debt of $92,727. Personal debt includes credit card balances, mortgages and student loans. Part of this mounting debt can be attributed to the ready availability of credit and the ease with which people live above their means.  Do you suppose, though, there’s another reason? Could it be that many young people have completed school without learning even the basic principles of economics?

Economics is about earning and spending money — allocating resources to satisfy needs and wants. Economics is also about everything from business, insurance and taxes to credit cards, interest and savings accounts. That’s not to mention concepts and policies that shape our country and the world. Concepts like choice, entrepreneurship, free markets, innovation, market competition, property rights, self-interest and supply and demand.

High school graduates face life-shaping questions. Do I go straight to work? Do I attend a vocational school, college or university? How much does additional education cost? What’s the cost of a student loan? What’s the return of investment on the loan? Should I continue to live at home or find my own place? How do I afford a car and pay insurance? Can I balance a checkbook, open a savings account or understand interest on money? 

These are basic economic questions students must answer. Economic education prepares them to do so. Students are cheated if they’re allowed to graduate without an understanding of economic concepts.

Understanding fundamental economic principles helps citizens make more informed choices not only with their own lives, but also as voting members of society. Citizens with a basic knowledge of economics know governments have no way of acquiring money except by taking money from citizens through taxation or printing money in the case of the federal government. Economically savvy citizens recognize the importance of private enterprise and understand a healthy economy requires all able-bodied individuals, not just a few, to work and pay taxes.

Entrepreneurs of the future will come from the graduates of today. All students need economic education. 

John Hendricks, founder of the Discovery Channel, once said: “There is so much at stake in getting the balance right between government regulations and marketplace freedom — and yet our educational system increasingly fails to teach our young people the fundamental workings of the free enterprise system, the system of checks and balances that restrains government from abusing its power and the crucial role of competition and capital formation to keep our economy healthy.”

Who needs economic education? Everyone. Require students to demonstrate their proficiency in economics.