Not even an MBA can save Gen Z and they know it—now U.S. business school applications have plunged 25% as job prospects dim

Gen Z is staring down an AI-driven job market with fewer guarantees—and even business school is looking less like a lifeline.

Applications to U.S. graduate business programs plunged 25% in 2026, marking the steepest decline in nearly a decade.

According to the data released Tuesday by the Graduate Management Admission Council, the drop reverses two consecutive years of application growth.

A perfect storm of factors—including economic uncertainty, shifting visa policies, and geopolitical tensions—is weighing on demand. But the economy stands out as the biggest drag: 90% of graduate business programs surveyed said economic changes, including recession fears, layoffs, and shifts in the job market, affected application volumes, while 73% reported a major or moderate impact, the highest share of any factor.

That’s a shift from the usual pattern: When jobs are scarce, people often turn to school to improve their prospects. But this time, economic uncertainty is making prospective Gen Z students think twice about the cost of another degree.

It comes as entry-level jobs continue to be in the........

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