Page 109 - Encyclopedia of Business and Finance

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Careers in Economics

• Leadership ability required for advancement in government or private indus-
• The ability to present findings clearly, both orally try (Harkavy, 1999). Business economists with a graduate
and in writing degree and experience may advance to management or
executive positions in banks, industry, or other organiza-
• The ability to make decisions based on experience tions, where they determine business and administrative
and using data
policy. A master’s degree is usually the minimum require-
• Enjoyment of the research process ment for a job as an instructor in junior and community
colleges. For a faculty position in most colleges and uni-
Especially for advancement purposes, it is helpful to versities, however, a Ph.D. is normally required. A Ph.D.
continue pursuing education and to take graduate-level plus extensive publications in academic journals are
courses. It is also important to be able to work successfully
required for a professorship, tenure, and promotion.
under the pressure of deadlines and tight schedules and to
Economists in education may advance to be department
be able to bear the responsibility of knowing that the heads or to administrative or research positions (Econo-
information provided will affect the future policies of cur- mists and Marketing, 2000).
rent employers.
Overall, good mathematical and analytical skills are
essential; persistence, objectivity, and creativity in prob-
EDUCATION AND TRAINING lem solving are important; and computer skills and excel-
People who are interested in this field should be able to lent communication skills are invaluable. No special
work accurately and precisely, because economics entails licensing or certification is required for economists
careful analysis of data. Good communications skills are (Harkavy, 1999).
also necessary. One should also take as many mathematics
and computer science courses as possible in high school LOCATION OF JOBS
(Economics, 2005).
Generally economists who are not in academia work in
A college major in economics is the basic preparation
large cities, where there is the highest concentration of
for a career in economics. Students should also study
major financial and government power; New York City
political science, psychology, sociology, finance, business
and Washington, DC, are main centers of employment,
law, international relations, statistics, regression analysis,
along with Chicago and Los Angeles. Academic positions
and econometrics. Those who are comfortable with the are spread throughout the country. American economists
written and spoken word have a significantly higher rate are also employed in foreign countries by international
of advancement and overall job satisfaction than those companies and organizations and by U.S. government
who are not.
agencies (Economists, 2005).
Although most professional economists hold a mas-
ter’s degree or a doctorate, a bachelor’s degree often suf-
EARNINGS AND PROSPECTIVE JOB
fices for an entry-level position in business or government,
OUTLOOK
perhaps in an economics-related area such as sales or mar-
keting, beginning research, or administrative and manage- Economists are the highest-paid social scientists. The
ment training (Economics, 2005). The primary highest-paid economists in business are in securities and
responsibilities in entry-level positions are the collection, investment, insurance, and retail and wholesale trade. The
adaptation, and preparation of data. In the federal govern- lowest-paid economists work in education, nonprofit
ment, applicants for entry-level economist positions must research institutions, and real estate (Harkavy, 1999).
have a bachelor’s degree with a minimum of twenty-one Job opportunities for economists should be best in
semester hours of economics and three hours of statistics, manufacturing, financial services, advertising, and con-
accounting, or calculus. However, additional courses sulting firms. The complexity of modern national and
and/or superior academic performance are likely to be international markets will continue to spur a demand for
required. The importance of quantitative analysis makes it those skilled in quantitative analysis. In addition, lawyers,
highly desirable for those planning a career in economics accountants, engineers, and urban and regional planners,
to take courses in mathematics, statistics, sampling theory among others, will continue to need economic analysis.
and survey design, and computer science (Harkavy, The majority of openings will come about as the result of
1999). replacement needs for those retiring or leaving the profes-
Postgraduate degrees in economics, with concentra- sion for some other reason (Harkavy, 1999).
tion in areas such as economic theory, econometrics, com- Demand for qualified marketing research analysts
parative economic systems, economic planning, labor should be strong because of the increasingly competitive
economics, and international economics, are generally economy. Marketing research provides organizations with

86 ENCYCLOPEDIA OF BUSINESS AND FINANCE, SECOND EDITION