Is it better to major in finance or economics?
Regarding earning potential, finance majors generally have higher earning potential compared to economics majors, especially if they work in investment banking or wealth management. However, some economics majors that enter consulting or public policy can also earn competitive salaries.
A finance degree might be more suitable if you are interested in managing investments, financial planning, or business finance. An economics degree might be more appropriate if you are engaged in economic research, policy analysis, or public service. Ultimately, the decision is yours.
The earning potential and salaries are comparable between the finance and economics fields. While the professions are related to one another, they're also very diverse, and salary can range based on the type and level of the job. As candidates gain more experience, they can typically negotiate for higher salaries.
If you have an interest in local, national or world affairs and the factors that drive markets, economics might be the major for you. Those who excel in math, research, critical thinking and solving problems with evidence-based solutions might also be a good fit for this field.
You can expect a stable income and many job opportunities in the industry of your choice. Having a career in finance can be both fun and beneficial. The benefits of a finance degree are numerous, be that the high salary that comes with it, the academic growth, and a high number of career advancement opportunities.
Fact is, at the undergraduate level at many colleges and universities, economics is not a very math-intensive course of study. There are many diagrams in economics, but there is not a large amount of math. A proviso: The amount of math in the economics curriculum varies across colleges and universities.
If you have an economics degree but have no work experience, you can find entry-level positions at companies that hire recent graduates or a junior position where you work under the supervision of a senior employee.
On average, economics majors earn $72,055 per year just 4 years after graduating according to the National Center for Education Statistics. That's 41% more than the national average for all people with a bachelor's degree ($51,088).
Engineering degrees took nine out of 10 spots on the list of the 10 highest paying college majors, five years after graduation. No surprise, majoring in engineering and finance yields the biggest paydays five years after graduating college, while majoring in liberal arts or performing arts pays the least.
How much do economists make? The national average salary for economists is $101,813 per year , but the salary you may earn depends on factors like your education, experience level and employer. Some geographical areas also pay economists more than others.
What is a good GPA for economics major?
General studies covers such studies as liberal, interdisciplinary, university, and general. The overall undergraduate GPA for all majors is 3.24, or between a B and B+ letter grade. The GPA for economics majors is only slightly below the average at 3.16.
Studying economics provides you with the tools to think critically about some of the most important issues facing humanity today, such as economic growth, prosperity, poverty, income inequality, social justice, environmental concerns, globalization, and business cycles just to name a few.
Many economists work in the public sector, helping identify and address economic issues. But many private businesses and nonprofits need economists for their analytical skills to help them better understand their own markets or service areas.
Salaries in the finance industry
According to the U.S. Bureau of Labor Statics (BLS), careers in finance pay a median salary of $76,850 — 66% higher than the median salary for all occupations in the nation ($46,310).
High earning potential: Many jobs in finance offer high salaries and growth potential, making it a lucrative career choice. Diverse career opportunities: With a finance degree, you can work in various roles and industries, from investment banking to risk management to financial planning.
Finance degrees are generally considered to be challenging. In a program like this, students gain exposure to new concepts, from financial lingo to mathematical problems, so there can be a learning curve.
Although introductory economics courses, such as those most college students must complete in the course of their studies, involve little math, an in-depth study of economics requires a rigorous understanding of mathematics, including calculus.
Most economics PhD programs expect applicants to have had advanced calculus, differential equations, linear algebra, and basic probability theory. Many applicants have completed a course in real analysis.
A college-level economics class can be challenging because you need to grasp new concepts like supply and demand, scarcity, diminishing returns, and opportunity costs. It requires you learn new vocabulary and to use critical thinking skills. But those theories, concepts, and terms build upon one another.
- Research Assistant. ...
- Pricing Analyst. ...
- Compensation and Benefits Manager. ...
- Policy Analyst. ...
- Business News Reporter. ...
- Environmental Economist. ...
- Insurance Underwriter. ...
- Statistician.
Who hires economists?
However, universities and research groups remain the largest employers of economists, followed by the government.
Challenge Of Pursuing An Economics Degree
Whatever college you choose, economics is not an easy degree choice. It requires a great deal of critical thinking and analysis for economics students. As you advance, the subject matter gets more thought-provoking and challenging.
Elon Musk's choice to study Physics and Economics reflected his multidimensional approach to problem-solving and innovation. The combination of a scientific foundation and an understanding of economic principles provided him with a well-rounded education for his future endeavors.
More than half of Economics students complete a double major. The most popular Weinberg College majors taken in conjunction with economics are Political Science, History, Mathematics, and Psychology.
Alumni with degrees in economics may attain positions in areas such as business management, finance, law, actuary, education, sales, administrative, and journalism in addition to economics.
