Career as a Economist
Economists are professionals who study the demand and supply of resources, goods, and services by collecting and analyzing data, researching trends, and evaluating economic issues. Economists apply both qualitative and quantitative economic analysis to topics within a variety of fields, such as education, health, development, and the environment.
Some economists study the cost of products, healthcare, or energy, while others examine employment levels, business cycles, exchange rates, taxes, inflation, or interest rates to calculate the national income of the country.
Responsibilities of an Economist
- Conduct Surveys and Collect Data
- Suggest and Introduce Measures to Increase National Income and Gross Domestic Product
- Interpret and Forecast Market Trends (Demand & Supply)
- Advising Business, Government and Companies Regarding Economic Trends
Most of the economists work full-time, although some economists prefer working part-time Their job may be stressful, especially as deadlines for reports approach. The majority of economists conduct their research independently in an office setting or work from home. The also analyse global financial markets and exchange rates.
Skills Required to be an Economist
To establish yourself as a successful economist it is very important for an economist to have the skills listed below:
- Good at numerical ability and analytical skills
- Mathematical and logical acumen
- Ability to Interpret graphs, charts and tables
- Interest in Current Affairs, finances and monetary policies
- Good Communication and interpretation skills
Eligibility to become Economist
Candidates who want to become an economist in the Indian government have to appear in the Indian Economic service examination. The exam is conducted by UPSC. It is an organized Group ‘A’ Central Service which is involved in economic planning and analysis through state boards, planning commissions, financial organisations and government bodies for the country.
To become an economist in Reserve Bank of India candidates have to apply for Department of Economic Analysis and Policy.
Age Criteria: The candidate should be between the age of 21-30 years.
Most of the renowned and multinational banks/ companies require a Ph.D. degree in economics. Some MNCs also ask for an internship and a few years of professional experience in the respective field of economics.
Types of Job Roles Economist
Some of the popular job profiles available for economists in government and private sector are listed below:
Research Economists: Their job is to develop mathematical models to explain and interpret business cycles, inflation, demand, supply effects of tax policies or unemployment Use Mathematics and Statistics to the theory and principles of Economics. They apply econometrics for analysis and prediction of all economic activity
Industrial Economists: They study the organizational structure of a company or a business to maximise the use of assets to increase the profits. Apart from this, they also investigate the methods of costs, analyse market trends, study demand and supply in relation to industrial policies.
International Economists: They study, collect, and analyze the data related to foreign trade and how can it be profitable for the home country. They work and establish international trade policies, exchange control and operation of foreign exchange.he also analyse global financial markets and exchange rates.
Econometricians: They develop models and make use of mathematical analyses to study and test economic relationships. To study the same use techniques like calculus, regression analysis, game theory among others.
Financial Economists: Their job role is to develop monetary policies, predict future financial activity. The financial economist also studies banking methods, credit structures etc.
Business Economists: They are economists who work as company’s administrators. They make decisions about company policies, plan future business activities in relation to general business conditions, national and international trade policies, governmental regulations and directives
Labour Economists: They study the supply of workers and the demand for labour by employers. They also study research on employment levels and how wages are set. They also analyze the effects of labour-related policies—such as minimum wage laws—and institutions, such as unions.
Employment Opportunities for an Economist
Check out the popular employment opportunities for an economist here:
- Business journals and newspapers
- Census organization
- Employment organizations
- Finance and investment firms
- Government and public enterprises
- Labour departments
- Labour tribunals
- Market research organisations
- Stock Exchanges
- Media Houses
- Research organizations
Top Recruiting Companies for an Economist
Business and companies across many industries use economic analysis and quantitative methods to analyze and forecast business, sales, and other economic trends. Demand for economists is increasing globally as the market trends are also changing rapidly. Some of the top recruiting companies for economist are as follows
- Economic Times
- Business India
- American Express
- Reserve Bank of India
Pay Scale/Salary of Economist
The salary of an economist typically depends upon the type of industry they are working for. An economist working with multinational banks like HSBC, Citibank enjoy great salary packages. The average salary of an economist in a multinational bank is between Rs.10,00,000 and Rs.15,00,000. Once the economist has gained sufficient professional experience their salary can go up to Rs.25,00,000.
Whereas economist working with government agencies/research departments/newspapers have comparatively less salary. At the start of the career, these economists earn between Rs.3,00,000 to Rs.4,00,000.
Note*: An economist who conducts independent research has varied income.
Books & Study Material to Become Economist
One of the best ways to enhance your knowledge in the field of economics and in its related field is to read a range of economy books. This list contains a mix of classic and contemporary works that will give you a historical understanding of economics as well as an idea of how modern economics are applied today.
- The Rise and Fall of American Growth by Robert Gordon
- The End of Alchemy: Money, Banking and the Future of the Global Economy by Mervyn King
- Capital in the Twenty-First Century by Thomas Piketty
- Between Debt and the Devil by Adair Turner
- Capitalism and Freedom by Milton Friedman
- The Wealth of Nations by Adam Smith
Pros of becoming a Economist
- Economics can choose from a broad range of specialized fields. From behavioural economics to macroeconomics to microeconomics. This field has something for everyone.
- An economist can be found anywhere. They can be in colleges & universities, banks, the rating agency, securities firms etc. Some of these pay an experienced Economist up to 5 figures.
- Economists have great social skills. Therefore, they can become very prominent businessmen or influential politician that talks about economics, interest rates, oil price etc all the time
- If you are an experienced & knowledgeable Economist, you can talk your way out & gain respect from people from all walks of life.
Cons of becoming a Economist
- Economist sometimes makes mistakes that can impact monetary policies. This is largely due to too much of assumptions & oversimplifying
- Job opportunities for economists are only projected to grow by 6 per cent through 2020 which is very less as compared to other jobs.
- The educational requirement to be an economist, at the very least is a master/Ph.D. degree in economics. It is a type of a career which requires you to put in years of study.
- Also, this career is not for those who don’t like math, since statistics, calculus and other advanced math subjects are used to perform economic analyses. Economists must also be detail-oriented and analytical, and they need excellent oral and written skills to explain and present their findings.