Economics major: A complete guide to degrees, careers, and salaries
What an economics degree involves: how much math it takes, the B.A. vs. B.S. choice, economics vs. finance and business, US salaries, and how to prepare in high school.
A financial analyst in the US earns a median of about $99,010 a year, according to the Bureau of Labor Statistics. Economics has a reputation as a lucrative, prestigious degree. Students considering it ask two things: whether it is too hard, and what jobs it leads to.
This guide answers both.
Will you like economics?
The biggest drawback comes first: math. A pure economics degree is highly quantitative, and a student who dislikes math will not succeed. Most programs require Calculus I and II and advanced statistics (econometrics).
- You will likely enjoy economics if you are a critical thinker and problem-solver. You like using math and data to understand why the world works as it does. You are analytical, curious, and comfortable with charts and data.
- Reconsider economics if you strongly dislike math, prefer purely creative or hands-on work, or want a single, defined career path such as nursing or accounting.
Students who love the ideas of economics but not the heavy math have an option.
The first choice: B.A. or B.S. in economics
This is the distinction most students miss. Economics degrees are not all the same.
A Bachelor of Arts (B.A.) in Economics is the big-picture degree. It treats economics as a liberal art and focuses on theory, policy, and writing. The math requirements are much lighter, often one semester of calculus. It suits students who want to double-major in Political Science or History and aim at law, public policy, or journalism.
A Bachelor of Science (B.S.) in Economics is the quantitative degree. It is math-heavy and technical. Students spend much of their time on statistics and data analysis (econometrics), and usually take multivariable calculus and linear algebra. It is the degree for finance, data science, consulting, or a Ph.D. in economics.
Equedu note: When researching colleges, check each course catalog to see whether it offers a B.A., a B.S. or both. This one choice can decide whether a student enjoys the major or struggles with it.
Strong economics programs are not only in the US. LSE, Bocconi, Tilburg, Sciences Po, HEC, and Pompeu Fabra open the same career doors as their US counterparts at far lower cost. Starting salaries in London and Northern European finance roles are competitive with US pay. Against a US private college, the tuition difference exceeds $200,000 over a four-year degree.
How economics compares with other majors
Students often hesitate between these business-related majors.
- Economics vs. Finance. Finance teaches how to manage money: investing and corporate finance. Economics teaches why money moves: market theory, incentives, and policy.
- Economics vs. Business Administration. Business teaches the practical skills to run a single company: marketing, management, and accounting. Economics teaches the theory of the whole market that company operates in.
What can you do with an economics degree?
The degree's main strength is flexibility. Employers hire economics graduates for an analytical mind, not a single skill, and graduates work in nearly every industry.
Careers fall into three groups.
- Corporate and finance. The most common and highest-paying route, in banks, corporations and consulting firms. Common roles include Financial Analyst, Management Consultant, and Business Analyst.
- Data and tech. A B.S. in Economics works as a "Data Science lite" degree, and this field is growing fast. Roles include Data Analyst, finding patterns in data, and Market Research Analyst, explaining consumer behavior.
- Public policy and research. Suited to B.A. graduates who want to make an impact. Policy Analysts work for governments or think tanks, studying the effects of new laws. A senior role as an "Economist," at the Federal Reserve for example, almost always requires a Master's degree or a Ph.D.
Salary and job outlook
The outlook for economics graduates is excellent. Companies hold more data than ever and need people who can make sense of it. Salaries vary by location and industry, but the degree offers a high floor and a high ceiling.
Median US pay for common economics-related roles, from the U.S. Bureau of Labor Statistics:
- Financial Analysts: about $99,010
- Management Analysts (Consultants): about $99,410
- Market Research Analysts: about $78,880
- Data Scientists: about $120,230
- Economists (graduate degree required): about $115,730
How to prepare for an economics major in high school
- Excel in math. This is your #1 priority. Take AP Calculus (AB or BC) and AP Statistics. Success here shows you are ready.
- Take an economics class. AP Microeconomics and AP Macroeconomics are the best way to test the subject.
- Strengthen your writing. Economists also have to explain what the numbers mean. Practice clear, persuasive essays.
- Stay curious. Read the news and ask why businesses and governments make the decisions they do.
To plan a European economics application, contact the Equedu admissions team.