I don't think that's really the case, Bill. Engineering for the foreseeable future is expected to produce just average growth, and the number of engineers expected to be hired between 2008 and 2018 is only around 5% of the total hires:
As for the state of US education, it's easy to be misled by the numbers. We produce a lot of highly qualified math and science students but our average is terrible, brought down by a large number who do poorly. Whatever the reason isn't really important, because many of the best math students, for example, have other ideas than engineering.