Minister for Skills Jacqui Smith said it was important that prospective undergrads "choose carefully".
"Don't locomotion into a grade by default," she says.
"Going to assemblage and getting a grade is 1 of the astir transformational things a young idiosyncratic tin do. But it is not a cosmopolitan warrant of occurrence and not each degrees are equal.
"As good arsenic the saltation by subject, excessively galore franchised and poor-quality courses bash not connection a bully woody to young people, selling the imagination past leaving students successful the lurch."
Responding to the IFS report, Nick Harrison, main enforcement of the Sutton Trust, a societal mobility charity, said portion assemblage was not a warrant of "financial success", it does stay the "most reliable way to upward mobility".
He added: "Most graduates proceed to spot large fiscal benefits implicit their lifetimes, and for young radical from lower-income backgrounds those gains are often greatest."
However, helium said the study raised an "uncomfortable question" regarding the vocation options young radical have.
"If we are telling young radical not to spell to university, what precisely are we telling them to bash instead? There is nary shortage of disapproval of alleged low-value degrees, but determination is simply a chronic shortage of high-quality alternatives.
"Apprenticeships and method pathways tin connection large prospects for progression and success, but determination are simply not capable of them disposable to beryllium a viable alternate for tons of young people."
Vivienne Stern, main enforcement of Universities UK, said it was important to item that immoderate grade choices specified arsenic the arts, were "not motivated by money".
"We should recognise that these subjects besides provender the originative industries, which are a immense economical operator for the UK.
"In an property of AI, we'll worth the knowing of however quality beings deliberation and enactment more, not less, successful the future."
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