Economics MBAs in have numerous benefits for prospective students who seek a better understanding of markets, and how they affect differing businesses and industries. The volatile international economic environment of the last five years has led more and more MBA candidates to concentrate their focus on economics.
Studying economics can be both difficult and fulfilling. The coursework is some of the most rigorous of any MBA concentration. Yet, earning a degree in economics will set you apart from your business school counterparts. Understanding economics will help you properly evaluate profits, provide accurate forecasts, and set the prices of your company’s goods or services. You will learn subjects such as game theory, the elasticity of demand, and how the business cycle works.
However, studying economics will not only help you hone your abilities and understanding of the business world, but improve your understanding of topics that arise in your everyday life. MBA in Economics candidates concerned with public policy and how their local and national governments make decisions can gain significant insight into these processes by studying economics.
Due its difficulty and importance, it is not surprising the Econ grads are among the best-compensated business school graduates. According to BusinessWeek, Economics MBA graduates typically earn a salary within a range of $80-120k in their first year out of school. Graduate degree holders are in high demand in the energy, finance, retail, and technology sectors.
Regardless of your area of concentration, economics should be a central focus of any MBA curriculum, as all business decisions managers and directors essentially come down to basic economic elements. Topics such as break-even profits, equilibrium pricing, and simply supply and demand are crucial subjects for a business professional to master.
Basically, there is an inadequate supply of goods and services within an economy. Economists must determine how both public policy and business decisions will impact the way in which resources are allocated among members of a society.
These subjects are important to everyone, especially business leaders. Understanding economics will help you efficiently allocate personal resources, manage time, and grasp the real value of goods and services. As a business owner, it will help you know when to hire and terminate employees, create effective budgets, and price your products to perfection. It will provide you with a background that will help you run your business more efficiently and profitably. And last but not least, it will help you earn a higher income, and wisely invest your savings!