What Do Economics Majors Do and What Do They Earn When They Do it?
18 Pages Posted: 21 Nov 2013
Date Written: November 19, 2013
This paper uses a recent and rich data set to examine the effect of economics major on individual earnings controlling for personal, occupation, and industry characteristics. We found a pronounced positive earnings gain for economics major relative to other majors; this advantage increases as the major’s level of education increases. We document that roughly half of the earnings advantage can be attributed to access to higher paying occupations and half of the advantage reflects higher pay for economics majors within occupations. Overall, these findings concur with Black et al. (2003).
Keywords: College Education, Economics Majors, Earnings
JEL Classification: J31
Suggested Citation: Suggested Citation