Nursing Is the Surefire New Path to American Prosperity (some of it might be due to compensating wage differentials)

Plentiful jobs and potential six-figure incomes draw young people as other industries falter; ‘modern middle-class jobs engine’

By Jeanne Whalen of The WSJ. 

I highlighted the word manufacturing in red in the excerpts below because this relates to my post from a few days ago called Is there something about manufacturing that requires special policies to help it that other industries don't get? The answer was basically no and there are many jobs that pay better. This article talks about how things have changed over time and manufacturing isn't the only way or best way to prosper.

Excerpts:

"Factory work used to be Americans’ most reliable ticket to the middle class. Office jobs offered another dependable route. But as automation, globalized manufacturing, and now artificial intelligence threaten or narrow some of these paths, healthcare jobs have become the surest bet."

"nursing offers not only stability but, for some, a pathway to real prosperity."

"The median annual wage for registered nurses in the U.S. is $93,600, compared with $49,500 for all occupations, according to the Labor Department. For nurse practitioners and others with advanced degrees, it is $132,050."

"Total jobs in the industry (healthcare) overtook those in the manufacturing and retail sectors in the early 2000s, and the gap has continued to widen since then"

"The sector was the largest source of job creation in the U.S. last year"

"The Labor Department projects that employment of advanced-degree nurses will increase by 35% from 2024 to 2034, eclipsing the expected 3% growth across all occupations. Registered-nurse employment is projected to rise 5% over that period."

"from 1980 through 2022, earnings of healthcare workers rose much faster than for non-healthcare workers"

"wage growth in healthcare over that period was more evenly distributed across all pay levels"

"The nursing boom coincides with the aging of the U.S. population and big shifts in healthcare delivery."

"More than two-thirds of registered nurses these days have a bachelor’s degree, while others with graduate degrees can prescribe medication, deliver anesthesia and handle primary-care visits."

"U.S. healthcare spending has soared from 7% of GDP in 1970 to 18% in 2024, partly due to the growing number of elderly Americans. High levels of chronic illness and the proliferation of medical tests and procedures have also driven up spending and demand for healthcare workers."

"About 13% of registered nurses in the U.S. last year were men, up from 8% in 2005"

"The downsides of the job are also real. Night shifts, weekend duty and long days caring for physically and emotionally fragile patients can lead to burnout."

This last part reminds me of what economists call a "compensating wage differential." That is when a worker gets paid more for doing unpleasant or dangerous work. That is necessary to get enough people to do those jobs.