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. Some find its quantitative aspects demanding, while others struggle with the theoretical concepts.

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.

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).

Finance and Economics are related, but not identical disciplines. Economics studies local or global markets, human behaviour, goods and services, etc. Finance focuses on financial systems and everything related: banks, loans, investments, savings, etc. Both disciplines open the doors to well-paid and in-demand jobs.

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 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.

To determine whether economics is the right profession for you, consider your interest in economic theories, strong analytical and mathematical skills, and excellent communication qualities.

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

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

The main difference in the two degrees is that the business degree provides a broader general education, meaning graduates can work in a number of fields. Economics degree holders are a bit more limited when it comes to the scope of suitable workplaces.

The difficulty of either field will depend on the individual's strengths and interests. Some people may find accounting to be more challenging due to its focus on detail-oriented tasks, while others may struggle with the abstract concepts in economics.

Both finance and business administration degrees offer a competitive earning potential. A business administration degree allows you to work in almost any sector. A finance degree offers the opportunity to work in a variety of finance-related fields.

How satisfied are finance students compared to other degrees? Overall, finance students rate their satisfaction with their degree a 3.1 out of 5.