it is usually wasted time traveling playing video games or listening to music it is something constructive. >> congratulations. what a pleasure to meet you. thank you so much. great work. we have much more straight ahead. what a way to end our hour today with rick springfield in house. thanks for stopping by. "cnn money" starts right now. the debate is over. college is worth it after all. i'm christine romans this is cnn money. two important studies conclude if you are not heading to college you are risking your financial future. the rate of return for a degree hovered around 15% since 2000. tuition has been rising and wages stagnant but rate of return is constant.

what about one-third of college grads working for baristas. the study find even they earn more and stay employed longer than workers with just a high school education. what about the trillion dollars of student loan debt? rates are set to rise next week for new borrowers but a study suggests not everyone is drowning in debt. only 7% owe more than $50,000 in student loans. 58% is less than $10,000 in debt. the message is it is up to you. you have to pick the right college and right major and don't take on too much debt. you have to finish. the real crisis is the students who borrow and don't graduate and you have to save for it. another survey out this week finds 77% of parents say they plan to help their child pay for college. that is down from 81% last year.

the author of "college unbound". andrew rossy documentary film maker behind "ivory tower". is the bottom line that college is worth it only if you are not one of the debt outliners and if you finish and only if you have a major that happens to be rewarded in the economy right now? >> in this economy you need an education after high school. that is definitely true. the problem is many students go to college because they are not sure what else to do after high school. 400,000 of them drop out of college every year. and those are many of the students who are thousands of dollars in debt and don't have anything more than a high school diploma and are having trouble getting a job and having trouble paying off loans. there are a lot of caveats to this. the biggest problem here is that we have excessive debt from a lot of students out there and that is the issue we should be focused on right now. >> i want to bring you in here

before we play a clip of your film the brookings institution study is households until 40. over the last few years the student debt has spiked might not be captured in recent numbers. >> the study is based on 2010 data. for the class of 2014, 70% of students from public and private schools are graduating with an average of $33,000 in debt. that is an amount that is hard to carry. the other thing we should look at is that it shows that the repayment term for those loans has actually doubled in the amount of time. so whereas students previously maybe were holding their debt for seven years now are holding it for upwards of 14. >> that delays house creation and maybe getting married. i want to take a look at a clip from your movie. >> a lot of the older

generations that criticize the millennials grew up at a time when you could go to a state university and pay your way through with summer jobs. these children got to college and realized the money is not there to pay for me. and everything that i was told about the way that the world works turns out not to be the case. >> what has changed for this generation? >> what is really happening is that the financial model for nonprofit higher education is unsustainable and tuition rates are rising at a stratospheric rate. since 1998 the cost of college has gone up. so every single year we see students needing to take out more loans, a greater amount of them and the entire situation is becoming unsustainable. >> let's talk about students who drop out. they have the debt and no degree to show for it. that seems to be a real, real problem, some of these kids sometimes are going to colleges that don't have the math and

reading skills and then they are behind and paying all of this money for what they should have learned in high school. is it the college's fault, students' fault, families not preparing? >> i think everyone is to blame in some way, colleges for accepting the students in the first place, for high schools for graduating them and we have a cultural issue here in that when you graduate high school in the u.s. there are few choices. you can go to the military or get a job or live at home. many students go off to college at 18 as a convenient warehouse because there is nowhere else to go. we need to come up with more options post high school on the way to college. not that they should never go to college but more options on the way to college. >> i worry you with going to see two americas. you have some graduates who don't have a lot of debt and maybe have a strategic major and others who maybe learned a lot

but are not going to find their place. >> that's absolutely right. the stratification is increasing. that is one of the reasons why we see the college degree having so much value is partially because the wage rate for those with only high school diploma continue to stagnate. the question becomes what is the value of the b.a. and college experience. what do we want our young people to get out of this bridge? >> is there a quick answer for those parents who say my kid is exceptional? there are some of those people who don't need to go to college. >> i think there is an increasing reduction in the stigma associated with not going to college. it is becoming more acceptable to say my child has an interest in the arts or athletics or perhaps technology and they can see a future where not having that diploma on their resume will not be a complete barrier to options. >> but for the typical

american -- >> median lifetime earnings are about $1 million higher for those with a b.a. >> fascinating. guys, thanks so much. we will be talking about this more, i'm sure. one former treasury secretary calls it a wicked, cruel crisis. another says companies should disclose this growing risk in s.e.c. filings. what is it that has these two so worried? at university of phoenix, we know you can't afford wrong turns on the road to your future. that's why we build tools like our career guidance system. it's kind of like gps, you know, for your career. it walks you through different degree possibilities and even lets you explore local job market conditions,

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what if you knew the 2008 financial crisis was coming and knew what was happening and knew how to stop it? two men say a moment like that

is here. henry paulson and robert reuben served as secretary. in 2008 it was an excess of debt that threatened to destroy the global economy. today these former treasury secretaries say an excess of green house gases. they are members of the risky business project calling on business to take action on climate change. >> the pressure is on business to think short term are tremendous in our system because markets tend to focus on the short term. >> that is really what makes this such a wicked crisis because this -- >> there are similarities, you say? >> of course, there are similarities because excesses are building up and greenhouse gases. don't forget the important

difference because as bad as the financial crisis was the government could come in at the last minute and take action. and, of course, co 2 emissions is killing us. so the longer you wait you just are guaranteeing that you will have to deal with some of the worst outcomes. >> risks that are catastrophic that can change the way we live life on earth with respect to our economy, a risk we simply cannot take. once the risks start to materialize that is when you can't turn the process. >> need to show more leadership of the actions we are taking to protect ourselves from the immediate impacts of climate change. we will have to invest in resilience and will have to, i believe, that they should press

their national government to take policy action. >> under current law required exposure to material risks. this should be included. if it was business would plan accordingly. investors would have better sense of the risks they face. >> we are dealing with risks. we need to take out risk insurance. and the fact that this study uses risk modeling methodology that is widely accepted by business will make a big difference. >> addressing climate change would add costs for companies at a time when the u.s. economy is under performing. you might call it the barbecue economy, low and slow. looks pretty good on the surface. the s&p 500 up almost 6% this year. economists are predicting a solid second quarter snap back and housing is back. home resales climbed nearly 5%.

new home sales jumped to a six-year high but home prices aren't rising as fast as they are. ask president obama and he wants credit for making progress. >> in the aggregate when you look at the country as a whole by pretty much every measure the economy is doing better than it was when i came into office and in most cases significantly better. >> a key part of the economic agenda to raise the minimum wage to $10.10, something the u.s. chamber of commerce opposes. here is the chamber's executive vice president. >> our economy is soft. we have grown but not growing at the rate we need to. we need to go up 3.5%. if we are going to take measures that would perhaps restrain companies from hiring people that is not good. >> calls the president's

economic records mixed. coming up that thing on your wrist, your smart phone, your car all communicating with each other. like it or not it is the hottest trend in tech. we will show you what is next for the internet of things. ster than tums smoothies assorted fruit. mmm. amazing. yeah, i get that a lot. alka seltzer heartburn reliefchews. enjoy the relief.

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the internet of things is the next mega trend. wearables, cars and homes are at the core with support from you the connected consumer. as the trend grows industries will use the internet of things to do business. this week two companies made big moves to advance the trend. one you know and one you may not know. cnn correspondent laurie segall joins us. go pro the stock jumped the little tiny mountable cameras

from a little startup to a billion dollar company. you talked to the ceo. how does go pro keep growing? >> the go pro story really resonated on wall street. the shares sold at the top end of the proposed range. and then after that we saw the stock go 30% increase on the first day. that really speaks to the excitement on wall street about this company. let's not remember wall street bought this on backward looking data. we had phenomenal numbers for an upstart company. how do you grow that going forward? one of the ways go pro hopes to do that is by monetizing the content, the imagery in the film. so i asked ceo nick woodman how did you make this idea or how did you come up with this idea from transition from a hardware

company into a media company. >> when we looked at why go pro was growing so quickly and exceeding our forecast we recognized that this phenomenon was happening where when our customers were capturing and sharing content and crediting go pro for it that was virally driving awareness and enthusiasm for our brand and for our products. >> he is the founder, right? >> he is super rich now. >> absolutely. on paper he has well over a billion dollars still in the company but also took some money off the table which is a little bit unusual. when we see these very hot tech even internet stocks when we see these hot companies go public investors generally don't want to see the founders selling on the first day but even still this guy was able to sell, his family members were able to sell

and investors were still interested. >> if you can make it wearable technology to something bigger. laurie, google hosted annual conference and unveiled smart form, platform for cars. google is always pushing innovation. was there something there to change my life tomorrow or big advertisement for all things google? >> this is the developers conference. they want to make a splash and want the developers to build on this platform. you know they come out there and have the smart watch and say you will be able to order pizza and a cab and connect to your tv and car. will people do that? that is to be determined. what i think we can take away from here is google wants to be the platform for this connected trend. this isn't a trend. our lives are becoming more connected. our homes and cars are becoming more connected. what google said here is we want

to be the layer behind that and want android to be the layer that connects the world. a nation known for producing oil is going green, really green. we'll take you to the world's most sustainable eco city next. and now angie's list is revolutionizing local service again. you can easily buy and schedule services from top-rated providers. conveniently stay up to date on progress. and effortlessly turn your photos into finished projects with our snapfix app. visit angieslist.com today. ♪

narrator: these are the skater kid: whoa narrator: that got torture tested by teenagers and cried out for help. from the surprised designers.

who came to the rescue with a brilliant fix male designer: i love it narrator: which created thousands of new customers for the tennis shoes that got torture tested by teenagers. the internet of everything is changing manufacturing. is your network ready? you notice it when you drive down the street, walking to the airport or take a train infrastructure problems. the society of engineers says it will take $2.6 trillion to fix

everything. last week commerce secretary told me the big fix is crucial to our economic future. >> we do have to invest in infrastructure. we are on a trajectory to have 100 million travelers to the united states which also creates good jobs in this country but we need to have airports that can handle that. we need to have roads that can handle the growth in goods and services. >> america isn't keeping up as other countries pour money in their infrastructure. the united arab emirates, what is being built is unlike anything in the world. cnn's erin burnett takes us. >> reporter: about 20 miles outside

outside. >> based on people walking to where they live and work and play. >> reporter: if you aren't walking city director says you can take a magnetically controlled car wherever you need to go. this is a little car. >> personal rapid transit. it's electrical. it comes you want it and takes you where you want to go and you leave it alone. >> it is driverless. >> reporter: navigating the city is relatively easy. >> this is a dream of what the future can be. is this really going to be more than a demo? >> it is the model for urban development but really not not only environmentally stable. >> reporter: fewer than 500 people live here. that is short of the goal of 40,000 next year. right now about 1,200 people work here every day in buildings that are specially designed to help reduce water and energy

consumption by as much as 40% according to city officials. >> we have learned over time with some of the successes and failures that you have had that zero emissions is the goal but that is not extremely reasonable at all. >> zero emissions is being proven to be very, very difficult. >> reporter: with more than 87,000 solar panels the city produces its own electricity offsetting 15,000 tons of carbon emissions a year. city engineers say it is the equivalent of taking about 3,300 cars off the road. and walking around you can see it everywhere. >> you are looking at wind power. >> absolutely. you take the traditional arabic cooling, totally sustainable and use modern technology to make it more efficient. >> reporter: the institute partnered with m.i.t. to develop new renewable energy resources like making jet fuel from the

seed of a weed that grows here in the desert. this is obviously happening here in the middle of the desert. what you are trying to prove is much bigger. >> globalization is the key to the future. we have to understand how to build cities that are low cost. that's why it is such an important contribution to globalization and urbanization. >> something. back here at home the u.s. men's nationals team is in the world cup knockout round. bosses, listen up. here is a management tip from cnn money. don't think of the world cup as drain on productivity but a chance to invest on human capital. tuesday at 4:00 p.m. game on. embrace it. employees will thank you and probably end up more productive and loyal when it is over. for some businesses the world cup means revenue.

check out for business behind the world cup including why a $90 jersey is bringing christmas in june to one sporting goods chain. you can find us here every saturday 2:30 p.m. eastern and on the web 24/7. have a great weekend everybody. you are in the cnn news room. we are watching several big stories this afternoon. we start with news just in to cnn. the father who left his toddler in a hot car for seven hours cried on speaker phone during his son's funeral today and his wife defended him saying he is a wonderful father and she is not angry with him. justin ross harris thanked friends and family for everything they have done for his boy just hours after police released a disturbing new development in the case. police say harris told them he did an internet search looking for how