Perhaps more indicative of the economic value of education, workers with college degrees earn an education premium, and that premium has risen over the past twenty-five years. Most economists have found that an additional year of schooling typically raises an individual's earning power between 8 and 15 percent. Recent studies show that four years of college boost earnings about 65 percent.
Why are these decisions so important? Firstly, regarding the expenditure ceiling; This allows an increase in government spending, which should contribute to the various needs of the economy, particularly the problem of poverty. We heard during yesterday's morning session many recommendations to deal with poverty. It is important that poverty in Israel is addressed.