CAREERS IN ECONOMICS

While the knowledge and skills learned in economics courses are useful in many different occupations, including business management and investing, you may want to specialize in economics; i.e., this page focuses on the idea of becoming a professional economist. Economists work both in and out of academia.

Academic economists teach economics courses at the college level. Professors who are tenured (or on the tenure track) also serve on various committees and are usually expected to publish original research. If you’re thinking about becoming an academic economist, it would be a good idea to talk to your favorite economics professors. They can give you first-hand information on what is involved in working your way into an academic position. If you want to be in academia, it’s probably best to think about eventually getting a Ph.D, since even Ph.D. holders “are likely to face keen competition for tenured teaching positions in colleges and universities.”*

Non-academic economists are also known as business economists, but this is a bit misleading, since business economists don’t only work in the for-profit sector…they also work in government, and in the not-for-profit sector. Business economists apply their knowledge of economic theory and statistical techniques to help solve problems that are often immediate and profit-affecting. It’s this results-oriented focus that many business economists find both challenging and exhilarating. For example, an auto manufacturer might base its decision on whether or not to design a smaller SUV on business economists’ forecast of gasoline prices. Or a bank might base its decision on whether to relax its mortgage lending standards on business economists’ forecasts of home prices and consumer incomes.

Business economists “conduct research, collect and analyze data, monitor economic trends, and develop forecasts. They research issues such as energy costs, inflation, interest rates, exchange rates, business cycles, taxes or employment levels.”* Over 50% of business economists are employed in the private sector and that is where most of the new economics jobs created in the future are expected to be. While the federal government employs a large number of economists, employment of economists in the federal government is expected to decrease in the future. However, the number of jobs for economists in state and local government is expected to rise. Overall, employment of business economists is expected to grow at about the same rate as the average growth rate for all U.S. occupations.

A great way to start your preparation for a career as either a business or academic economist is to declare a major in economics. It is possible to qualify for an economist position with a bachelor’s degree in economics. For example, candidates for entry-level economist positions in the federal government “must have a bachelor’s degree with a minimum of 21 semester hours of economics and 3 hours of statistics, accounting, or calculus.”* Those requirements line up well with the requirements for the economics major. If you think you’d like to be a professional economist, contact Dr. Ed Van Wesep, the undergraduate advisor for the Department of Economics. Dr. Van Wesep has information from a variety of sources that can help you make an informed decision and achieve the necessary preparation. You can e-mail him at: edward.vanwesep@wmich.edu

The following sources were used in the preparation of this webpage, and are a good source of additional information about careers in economics:

• Bureau of Labor Statistics, Occupational Outlook Handbook, 2004-05 Edition/Economists. Available on the web at:
  http://www.bls.gov/oco/ocos055.htm

• National Association for Business Economics (NABE), Careers in Business Economics, 2004-05. Available on the web at:
  http://www.nabe.com/careers.htm

* Bureau of Labor Statistics, Occupational Outlook Handbook, 2004-05 Edition/Economists. No page numbers are available.

Department of Economics, College of Arts & Sciences
5307, Friedmann Hall, 1903 West Michigan Avenue
Western Michigan University, Kalamazoo MI 49008
Phone: (269)-387-5535 Fax: (269)-387-5637

Site Contact: Web Administrator Updated:08/10/2005