There is a wage premium earned by high school graduates relative to non- graduates， but its pretty small—much smaller than the gap between high school graduates and those with college degrees. The big advantage of a high school diploma is that it clears the way for a student to move on to the next level.
But the next level is increasingly out of reach for disadvantaged students. Money is occasionally the problem， but competition may be more of an issue. Disadvantaged households do not have the resources to invest in preparatory courses or multiple admissions applications. Students may not have the time after school to participate in extracurricular activities， needing， instead， to work. And disadvantaged students are unlikely to get the parental pressure at home to continue investing in activities designed to enhance competitiveness in admissions.
Perhaps the increasing competitiveness of college admissions processes are leading more students to conclude that college is out of reach—which is therefore reducing the return to a high school diploma and increasing the dropout rate。
