Qualification Inflation: the Law of Diminishing Marginal Utility in the Context of Students’ Educational Decisions

Abstract

The article analyzes the phenomenon of diminishing marginal utility in higher education within the context of contemporary students’ educational decisions. Drawing on economic theory and the concepts of behavioral economics, the author seeks to answer whether each additional academic degree, course, or hour of classes provides students with proportional benefits, both subjective and objective. The study highlights the growing trend of limiting formal education in favor of short, specialized forms of learning (micro-credentials, vocational courses) and discusses their implications for the quality of acquired knowledge and academic education. The author also addresses the issue of qualification inflation and diploma devaluation, suggesting that the pressure to pursue successive levels of higher education may lead to a loss of the authentic value of academic credentials. The conclusion emphasizes the need for qualitative reform of the educational system, based on the individualization of learning pathways and maintaining a balance between the practical effectiveness of education and traditional academic values.