With room and board provided and an abundance of opportunities for working on-campus, Jumbos would seem to be mostly sheltered from larger problems within the economy.
But a recent economic downturn and fears of a recession may make it more difficult for college students looking for jobs once they graduate.
Lecturer of Economics John Straub said in an e-mail to the Daily that it was not completely clear yet if the United States is heading for a recession. According to Straub, the textbook definition of a recession is two quarters of negative economic growth. Preliminary estimates from the U.S. Bureau of Economic Analysis have suggested that the country's Gross Domestic Product (GDP) grew at an annual rate of 0.6 percent in the fourth quarter of 2007.
Still, Straub said this figure is cause for concern.
"This rate of growth is very close to zero," Straub said. "Because it is also a preliminary estimate, some analysts like to emphasize the possibility that the U.S. GDP might actually have shrunk in the last quarter of 2007. Of course, it is also possible that GDP growth was bigger than 0.6 percent."
Straub said that the government is acting to head off further economic problems by using policies that had success in the past - the buyout of Bear Stearns being one example.
"The U.S. government's involvement in the ongoing buyout of Bear Stearns by J.P. Morgan is very much in the spirit of the successful 1990's policies," Straub said. "The fear is that, if Bear Stearns were allowed to go bankrupt, then clients at other financial institutions might anticipate a similar collapse and withdraw their funds, which would indeed cause the collapse of other institutions leading to a vicious cycle in which no one would be willing to invest with anyone, and the whole financial system would cease to function."
According to Straub, given the nature of the current economic problems, it may be harder for seniors to find work, particularly in the financial sector.
"The first thing that occurs to me when I think specifically about Tufts students and Tufts graduates is the fact that many of my own advisees tend to look for work in the financial sector," Straub said. "The root of the current crisis lies in this sector of the economy. The collapse of Bear Stearns provides a dramatic example. So it seems all but certain that it may be more difficult for Tufts graduates to find jobs in that sector of the economy in 2008."
Straub, however, added that a recession, or the fear of a coming recession, would make it more difficult to find a job in any field - not simply finance.
"Jobs of all kinds are always harder to find when the economy is in, or almost in, a recession," Straub said. "When consumers and businesses have trouble getting credit they undertake fewer spending projects, which means less work for whomever would have otherwise got their business ... It's a vicious cycle with many unpleasant consequences, including fewer job opportunities for college students and recent college graduates."
Junior Jeff Lindsay says that he feels protected from adverse economic conditions because of his choice of career. "In a way I feel like my intended profession has been insulated from the crisis," Lindsay said. "I intend to be a public school teacher at the high school level."
Jessica Sites, a sophomore, said that because she currently has a job with a biotech company, she has not been overly worried about the economy. She added that, as a college student, she feels somewhat disconnected from economic issues.
"Being in college, I'm in my own bubble," Sites said. "As long as my parents can afford to send me to college, I don't think it should affect me."
Sites, however, acknowledged that she has become more aware of the economic situation and will worry more as graduation approaches. "I think I've gotten more concerned by the state of the economy, and I'm hoping it'll get better by 2010," Sites said. "But, if I was a senior, I'd be worried."
Lindsay agreed that he would also start to feel more anxious if economic troubles persist. "I will start worrying about my ability to pay back student loans," Lindsay said. "And I guess housing will be a problem in the near future, but it's not something I'm worried about now."
Ultimately, according to Straub, students should not let their search for a job be dictated by the economic situation. "When you're trying to decide what to do with the rest of your life, it is much more important to look 'in' than it is to look 'out,'" Straub said. "Recession or no recession, you need to put yourself into long-term situations in which you are going to thrive. You need to get out of bed every day and go do something. If it's something that you find stimulating, you're going to thrive. If it isn't, you're going to stagnate."
