I'll play the devil's advocate...
Wait slow down...your saying you have LESS job opportunities the higher education you get?
To clarify on what I am saying, you have less opportunity in general computer science type jobs. By it's nature, your PHD will restrict what jobs you are qualified in (doesn't necessarily mean you can't do a job though, but in the job market, perception counts). In general, there's a lot of jobs for BS, fewer jobs for MS, and even fewer jobs for PHD's. Perception is that higher degrees want more money/job in their field.
While the perception is that someone with a PhD is going to expect to be paid more than someone with a BS degree, you don't expect a PhD to take an entry level position either. From the job figures that I have seen, a PhD doesn't command a much higher salary than a MS (maybe 5 to 15K more); however, someone with a PhD is going to have higher expectations regarding what areas they want to work. They also tend to have much higher levels of job satisfaction in surveys. In other words, you're the one that tells the intern to do the crap work like make the homepage look better.
Also, most research positions will not consider you unless you have a PhD. The PhD demonstrates that you have the capability to perform independent original research, which is not necessary for a MS degree.
Depending on what your PHD is on, the job market may be saturated already, and if it isn't, it may not be where you want to live, pay what you want, etc.
Personally, I believe this is a bit of an urban legend. If you look at aggregate job statistics, you don't see an alarming number of doctors unemployed. OTOH, the competition for the limited number of professor positions at top universities is fierce.
Example, when I was in college, the big thing was Artificial Intelligence. If you got a PHD in Artificial Intelligence, there weren't too many jobs outside the big research type/government grant type companies. There wasn't really any jobs in applied Artificial Intelligence outside of that. This is pre-google by the way.
AI is kind of a funny subject area for a number of reasons, so let's leave that alone and stay general. IMO, if you've already spent time working on original research, why on earth are you going to apply for everyday work at some regular company? You should be applying for positions at research labs in either academia, government or industry. Trust me, Microsoft, Google, Sun, Intel, IBM... on and on, all want to hire the next great researchers. Just look at how many tech companies are worried that Google is gobbling up too many of the next group of big brains. Also, consider the impact that you can have on your company, check out the history of the Niagra processor at Sun.
Even if you, err, don't state your degree, since you went for the PHD, you spent more time in college, so you are getting out in the job market at a later age and the companies tend to wonder why you had no job experience by 26-28. They'll know you are hiding something, and depending on the HR department, they may or may not care to dig in further, which could cause you problems later.
From what I've seen, the HR people don't have the requisite arithmetic skills to perform the analysis. =)