Is an economics degree a good value?

Economics can be defined as the production, distribution, exchange, and finally consumption of goods, services, and commodities. To know if an economics degree is of good value, continue reading this article. 

Updated by Tanisha Alex on 30th April 2020

Before we explain the value of an economics degree, we will substantiate our claim with sufficient proof. A recent Forbes article named economics as #10 in their list of best master’s degrees. 

This subject can offer a great deal of value and a solid base for a variety of professions.  The main reason behind the value and importance of an economics degree is that it provides the bedrock for most courses and majors related to the study of finance and commerce in general. 

The subject material you learn in such a program will give you a broad understanding of finance, markets, consumption, and resource allocation.

An Overview of economics

  • Economics can be defined as the production, distribution, exchange, and finally consumption of goods, services, and commodities for the satisfaction of human needs, and desires. 

  • Economics is mainly of two major sub-categories. Macroeconomics and microeconomics. These two branches deal with the units of the economy and the economy as a whole. 

  •  It studies how individuals, businesses, governments, and nations make choices on allocating resources to satisfy their wants and needs, trying to determine how these groups should organize and coordinate efforts to achieve maximum output.

  • Economics is especially concerned with efficiency in production and exchange 

Is a degree in economics worth it?

In all honesty, the value of the degree is very much dependent on a variety of factors. This includes the level of interest and competence in the subject. As well as the earning potential and the possible employment opportunities that may be available. Before you make a decision regarding the value of an economics degree it would be prudent to see if the below factors align with your overall interest. 

Gain Knowledge

We agree ultimately the goal will be to earn sufficiently and lead a good life. The earning potential with this degree is high. However, along with a good salary, you will be gaining knowledge. 

You can consider this degree if you are a student who is keenly interested in knowing the state of the economy.

And especially in this degree course, it provides you an enormous amount of knowledge which you can utilize in different stages of your daily life and the occupation you chose. 

Also, there is a wide variety of employment opportunities. You can get into a research team or analyst team based on your interest. With the options open, it will make you feel more confident and it also helps you to explore and gain knowledge about the branch of economics that you are interested in.

Potential career opportunities

Before we provide an intensive list of the possible career and employment opportunities of an economics degree holder. We must first allow you to know that economics is a wide field and it is dependent on other subjects and course materials as well.

An economics degree gives you subject-specific skills enabling you to apply economic principles and models. You'll also gain an understanding of the large driving forces shaping social policy and financial markets, as well as skills in statistical analysis.

More than 65% of economics graduates are in employment six months after graduation, while around one in five goes on to further study. 

Market research analyst 

Economic consultant

Compensation manager 

Actuary 

Credit analyst 

Financial analyst

Policy analyst

Lawyer

Management consultant 

Business reporter

Economist

Chartered accountant 

Stockbroker

Data scientist 

Earning / Salaries

As discussed earlier, career growth is very high for this degree holder and accordingly, annual salaries are also very high compared to other simple ones. 

The U.S. Bureau of Labor Statistics, Occupational Outlook Handbook (online in 2019) reports annual wages for economists. For economists of all educational levels, the median earnings in 2018 were $104,340 at $58,130 at the tenth percentile and $182,560 at the 90th percentile.

Economics major salary can depend on the type of degree, the job title, and several other factors. graduates with a Bachelor of Science (BS/BSc) in Economics made an average annual salary of $70,000 in November 2019. Given below is a table showing occupations with their average salary.

Job Role

Average Annual Income

Market research analyst

$34,310 to  $121,080.

Economic consultant 

$50,000 to $108,000.

Compensation manager 

$70,560 to $205,470.

Actuary 

$61,140 to $186,110.

Credit analyst 

$43,100 to $137,610.

Financial analyst 

$52,540 to $167,420.

Policy analyst 

$41,000 to  $80,000, 

Lawyer 

$58,220 to $208,000.

Management consultant 

$48,360 to $152,760.

Conclusion

Is a degree in economics worth your time and money? Of course Yes, if you are interested in the subjects involved in this degree. We would like to give a few takeaway points which might be useful to you.

  • It is a great opportunity to gain an enormous amount of knowledge along with earning according to your potential. 

  • It is considered to be an important aspect in today’s world and also, the career growth is increasing every year. 

  • It gives you a balance between the money you instill in studies and the knowledge you gain to have a job with a satisfying salary for the education you have had.

It is better to analyze the subjects involved in the degree or major and then decide for yourself if this degree is worth your efforts. That being said economics is a highly comprehensive subject and is valuable in certain fields.