Economics vs. Finance major: which is better? (2024)

FAQs

Economics vs. Finance major: which is better? ›

In terms of employability, both majors generally have good job prospects. Finance tends to have more specialized career paths and often leads to higher starting salaries compared to economics. However, economics majors often find success in a variety of fields, allowing for more flexibility in career choice.

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.

Although higher income is only one consideration when choosing a job, economics provides students with a broad range of analytical, quantitative, and communication skills that are useful in many different occupations in management, finance, banking, public administration, non-profit organizations, and community service ...

Is finance a hard major compared to other business fields? Finance can be challenging, but the difficulty level may vary depending on individual strengths and interests.

A degree in economics can provide a variety of job opportunities in nearly every industry, from local government and the sciences to finance and insurance.

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.

Just as any major has its challenging courses, economics requires the study of complex concepts that don't often have black-and-white solutions. Within the discipline there is a wide range of topics from macroeconomics (the study of economy-wide issues) to microeconomics (the study of individual behavior).

What are the top 5 highest paying jobs? The top 5 highest paying jobs in finance are investment banking, hedge fund management, CFO roles, private equity, and actuarial positions. These careers typically offer substantial salaries and the potential for significant bonuses.

What is the highest paying job with an economics degree? ›

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.

Math and statistics are used in economics, but at the undergraduate degree level, the math and statistics are certainly not overwhelming. Economics majors are usually required to take one statistics course and one math course (usually an introductory calculus course).

Overall, finance students rate their satisfaction with their degree a 3.1 out of 5.

One of the most difficult jobs in Finance is to be the CFO of a PE firm or a PE-backed company. According to a Big 4 firm's survey, turnover of CFOs in PE and PE-backed companies is notoriously high, reaching 80% in less than five years; half of whom are gone within three years.

While each program will vary slightly, students earning a finance degree can expect to take a sizable amount of math classes.

economics salary. According to Indeed Salaries, accountants make a national average salary of $62,364 per year in the United States while economists make a national average salary of $113,334 per year .

The job market for students graduating with an economics degree is smaller than that for those graduating with a business degree. However, while the scope of work is smaller, there is generally less competition for work and higher salaries thanks to the specialized skills possessed by economics majors.

An economics degree is very worthwhile if you are considering a career on Wall Street. Banks will universally recognize that you are interested in business and the markets and as a liberal arts major you will learn more critical thinking than someone doing a traditional finance degree.

The highest-paying business master's degrees are general business ($112,198), finance ($101,649), and business economics ($100,021).