9 Careers You Can Pursue With A Degree In Economics
Children start understanding economics at the age of 10 when they see the prices of their favourite goods increasing due to inflation. Economics is one of the most popular subjects that students opt for in high school. In fact, it is one subject opted almost equally by students studying the humanities, science, or commerce. However, there is often a lack of clarity among students among the different careers that economics may lead one to. Read below to understand the various economics career options and avenues an aspirant may explore with a graduate or postgraduate degree in economics.
Banking
The banking industry welcomes students of economics as they have a good understanding of economic trends. Fresh graduates in economics are absorbed for various roles that may be at the back end or customer-facing. Most banks provide rigorous training for graduates so that they understand their internal processes, systems, and products. Private and multinational banks actively hire in campus placements of reputed institutions. They may also advertise for positions and follow their own customised recruitment processes and selection tests.
For public sector banks, there is the IBPS exam that is held every year to shortlist graduates for various clerical and administrative services. The promotions to the next level within these roles are structured, and based on performance and exams. There is more job security in positions in public sector banks than in other private and multinational banks in India.
There are different types of public sector banks in India and separate recruitment and selection tests are conducted for the state banks, other public sector banks, and the Reserve Bank of India.
Most selection tests include a mix of verbal, numerical and logical ability/reasoning abilities and general knowledge. There are usually rounds of tests and selection processes, and these roles are well paid from the entry-level itself.
The minimum age to enter a bank is 21 years and the maximum age to take the banking entrance examination is 30 years.
Financial Services
There is an increasing need for investment advisors, investment analysts, fraud management professionals, financial analysts, credit analysts, actuarial services, etc.
Investment advisors usually work with clients, helping them manage their portfolios and rotate their investments in order for the latter to get better interest rates and returns. Investment advisors need a good understanding of financial markets and options, investor psychology, and need to keep a sharp eye on the market trends. An economics graduate will need to learn about investments through courses, certifications, and hands-on experience in order to excel in this role. A seasoned professional may also set up their own entrepreneurial venture and service their clients. This role is quite lucrative and based on a percentage of commissions of the interest that the client has been able to profit from.
Apart from investment advisors who manage client portfolios, you also need analysts who look at data and trends in the short-term and long-term, which serves as an input to the investment advisors. Financial analysts focus on the overall market and trends, investment analysts focus on the performance of specific investments in a sector, or how certain types of investments are performing. Credit analysts work with credit rating organisations to evaluate the risk and viability of a specific bond or investment option.
Actuarial services refer to specialised services in the area of risk management for organisations. To be an actuary, you need to take a series of exams with the Institute Of Actuaries Of India (IAI).
Government Services
Most people are aware of the Indian Administrative Services exam where you take the preliminary and main exams to qualify for the interviews. Selection into different cadres of the IAS is based on the overall score and ranking in the different rounds of selection. Economics graduates who are desirous of serving the government may prepare for this series of exams.
Additionally, there is also the IES or the Indian Economic Services exam which was conceived by Pandit Jawahar Lal Nehru, for formulating and implementing economic policies and programmes in the country. To join the IES, you need to be a postgraduate in economics and qualify through the rounds of selection tests and interviews.
Analyst Roles
As a student of economics, you may choose to become an economic analyst and study economic trends in different markets, countries, etc. Economics graduates also make excellent business and data analysts, as their ability to collate, analyse and meaningfully interpret data is usually good. Additional certifications and courses help in learning the tools for data and business analyst roles.
Economics Analyst is a promising career option for an economics graduate.
Education
Educational institutions welcome specialists in economics to teach in high schools as well as at the college level. In some Indian and international boards, economics is offered as a subject from class 8 onwards, and so there is a significant demand for economics educators from the school level itself.
To teach at the school level, you need a postgraduate degree in the subject, followed by a Bachelor’s in Education (B.Ed). To teach at the university level, you need to be pursuing a doctorate degree in the subject and clear the necessary teaching exam (NET).
In addition, many coaching centres and tutorials also employ economics teachers, as many students find the subject hard and need the extra classes and tuition.
Research
Graduates and postgraduates in economics may join academic research organisations that conduct national and international research studies on economic reforms, policymaking, development, etc. These research studies contribute towards policymaking and appear as papers in academic journals.
Economists also join market research organisations that focus on understanding and predicting market trends, consumer behaviour trends, and providing consulting services to brands and large organisations. Economists are usually good at both quantitative and qualitative analysis, and this goes a long way in proving useful for market-based research and analysis.
Management, Business, And Consulting
The business and management consulting sector welcomes students of economics in its organisations at the entry level. Economics graduates and postgraduates from reputed institutions are absorbed as business and domain consultants, and may be provided with some in-house training to equip them with the necessary knowledge and skills for the role.
Many students also pursue an MBA after graduating in economics, and based on their specialisation in the MBA program, they may join marketing, sales, finance, HR, systems, strategy, and other departments of organisations.
The management sector is another lucrative career avenue for economics enthusiasts.
Non-Governmental Organisations
The not-for-profit sector is also a good place for students of economics as it needs individuals to manage finances, raise funds, plan budgets, review and implement programs. As economics is a versatile field with diverse applications, it is common to see economics graduates and postgraduates in many different sectors and roles, sometimes with an additional specialisation, and sometimes purely from an economics background.
Journalism And Media
Economics also opens options for writing and contributing articles to newspapers and journals based on national and international economic trends.
Business and finance-related media channels also need economics graduates and postgraduates to anchor newsrooms and assist in the analysis and scripting of features.
It may be useful to pursue a postgraduate course in journalism and mass communication to join this sector.
Overall, the social acceptance of an economics degree is good and many courses and economics-related jobs involve economics graduates and postgraduates in their recruitment process. So, if you enjoy understanding how a country’s development is measured, how GDP can be increased, how inflation can be curtailed, you may be keen on looking at pursuing a course in economics. Degrees in specialised areas like business economics are also available for students who show an interest in both areas.
Go on and pursue that career in economics and shine through. For starters, you may want to follow the news of India progressing from a ‘developing’ nation to a ‘developed’ nation and see how the economic indicators have shifted over the last many years of independence.
Dr. Srividya is an Organisational Psychologist, Career, and Personal Growth Coach. She works with teens, parents, adults, and returning professionals, to help them align their personal and professional needs, desires, and overcome personal and professional challenges. She can be reached at www.lifevidya.in.