> By this simple measure a recent MBA graduate of Harvard with 200k debt and no assets is poorer than a Mumbai slum dweller with 2 rupees in his pocket. This i

> By this simple measure a recent MBA graduate of Harvard with 200k debt and no assets is poorer than a Mumbai slum dweller with 2 rupees in his pocket. This is only because this example exaggerates a few obviously valuable assets that are difficult to measure in terms of market value. (a) The Harvard MBA itself, both the "piece of paper" and the experience itself, has no conveniently measurable market value and thus doesn't count as an asset. Yet, it obviously is worth something. (b) The raw human potential. A Harvard MBA graduate is going to be literate and is likely to have many cognitive advantages vs a "mumbai slum dweller". The potential has unmeasured value, degree or not. (c) Social Capital. This not only includes the support networks of family and friends that tend to support new graduates as they bootstrap their careers, but also the general trust of others in society. For example, a Harvard MBA is not likely to have an unreasonably difficult time finding decent roommates in the Boston area, even if they don't have any immediate friends or family available. College degrees are the big investment where the value of asset is essentially not measurable (at best you can look in hindsight). And everyone has raw human potential and social capital, but then everyone has differing amounts. For the other extreme: take away the degree. Replace the cognitive advantages with a mental disorder (say, an addiction or a psychiatric disorder). Remove the social capital. Take all that away, and you'll be more likely to find a homeless person or someone heavily dependent on the government to survive.