Final answer:
During the Great Recession, spending on higher education increased globally despite economic challenges, as it is viewed as a critical investment in future prosperity and employment opportunities.
Step-by-step explanation:
The question addresses the impact of the Great Recession on consumer spending in the category of higher education. Despite the economic downturn, there was a marked global increase in enrollment in colleges and universities.
This trend can be attributed to the perception that higher education is a gateway to prosperity and can lead to increased earnings. According to data from UNESCO, there was significant growth in educational spending and enrollment in various countries, with an 18 percent surge in the United States during the recession.
This phenomenon highlights that even during lean economic times, many individuals and countries prioritize investing in education, with the belief that it will yield long-term economic benefits and improved employment prospects. Additionally, during times of high unemployment, the opportunity cost of attending college—potential wages lost from not working—is lower, making it a more feasible time for education pursuits.
The greater demand for higher education during an economic recession means that individuals and countries see it as a pathway to prosperity. In times of economic downturn, people often prioritize education in the hopes of improving their job prospects and increasing their earnings.
This is supported by data showing that enrollment in colleges and universities increased during the Great Recession. For example, enrollment rose in China, Saudi Arabia, Pakistan, Uganda, and the United States.