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Tanstalas said:

Good points, however, if an employer is looking at two people with similar past job experiences, and one holds a degree and the other does not then the person with the degree will most likely get it.  Unless they are asking for a lot more money than the other person :)

Depends on the field. my field comes to mine (software development).

If two people have the same backgrounds, and one does not have a degree, it's very likely they are better at what they do, as there path to get to where they were was much harder.

If I was looking at people with 3 years experience, I would most likely take the guy with the degree. If it was 15, I would take the guy without it.