Pursuing a PhD in Economics

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Should I do a PhD?

Advice about doing a PhD tends to focus on the mechanics of gaining admission. If you're intent on doing a PhD, it's important to rack up the right credentials and to be strategic about applying, and I give advice on that below. But advice about applying can sometimes put the cart before the horse. A PhD is a huge investment of time, energy, and self, and you should think long and hard before embarking on one.

Ask around

Start by talking to your professors, teaching assistants, and other mentors, who will have lots to say about the application process and the day-to-day life of an economist. They can give you a basic roadmap of what you can expect throughout the process.

Try to talk to economists who have pursued different career paths, such as academia, government, data science or tech, economic consulting, or finance. They're likely to have different perspectives on the pros and cons of doing a PhD, and they can provide concrete templates for how your own career might play out.

A PhD is a research credential

Undergraduate courses teach what we already know about economics. Graduate courses, by contrast, are designed to develop the skills you will need to conduct your own original research later in the program. If you're excited about doing research—in particular, research in which you're the main driver—a PhD might be a good fit. If you're more interested in mastering and applying what we already know, another degree (such as a Master's in Public Policy) may be more appropriate for you.

Pros and cons of doing a PhD

  • The pros: There are plenty of good reasons to consider pursuing a PhD. If you're reading this, you likely have a deep intellectual interest in economics, and graduate school can be an intellectual feast. On a practical level, an economics PhD is a versatile credential with many possible career paths: faculty jobs in economic departments and professional schools, positions in government and in international organizations, and private-sector jobs in tech, finance, economic consulting, and other industries. In recent years, most PhD economists have gone on to do well-paid, interesting work.
  • The cons: Alongside these positives, you should consider the sacrifices that a PhD entails. PhDs are hard. They're emotionally and psychologically as well as intellectually challenging, and they take a long time, occasionally five years but typically six or more. Doctoral work is often a stressful and isolating experience, especially once you finish coursework and set off to do original research. Many PhD students struggle with anxiety and depression, not least in economics programs. Ask yourself whether the benefits of a PhD are worth the costs: both are quite real.

Job opportunities

A PhD in economics has historically been an enviably strong credential in the labor market. Throughout the 2000s and 2010s, demand for economists grew robustly: universities needed more professors to accommodate growing econ enrollments, government agencies drew heavily on economic expertise, and the tech sector emerged as a major employer.

But 2025 was a devasting year for the economist labor market. The federal government cut back on PhD employment through a hiring freeze as well as layoffs at some agencies, and universities cut back on hiring in light of severe budget strains. Private sector hiring has been more robust, but still not particularly strong.

Some of these factors may reverse in the coming years, but there is a great deal of uncertainty about what the job market will look like by the time you complete your PhD. Of course, there is uncertainty about any career path—especially as AI transforms the labor market—and the versatile skill set you develop as an economist might be a strong option for navigating an uncertain landscape.

What classes should I take?

Economics classes

At a minimum, you should take core economics classes through your school's equivalents of Intermediate Microeconomics and Intermediate Macroeconomics. Most schools require these classes as part of an economics major, and (especially in the case of micro) they're prerequisites for most econ electives.

It's helpful to take a few electives like Labor Economics, Industrial Organization, or International Trade. These classes will help you get a sense of your research interests, and they signal to admissions committees that you're interested in applying economic theory to real-life problems. But there are diminishing returns to taking lots of these electives at the expense of more advanced, technical courses.

Harder, theory-heavy economics classes can signal that you're ready for graduate coursework. Consider taking Advanced Micro or Advanced Macro if your school offers them. Courses in Game Theory and in the Economics of Uncertainty and Information are also on the technical side and can serve a similar function.

If your school offers a senior thesis program, try to participate. It will boost your research credentials, and thesis advisers are natural choices for letters of recommendation.

Math classes

Multivariate calculus is absolutely essential. Differential calculus is central to optimization, and integral calculus is used routinely in economics as well. Learn all this well: the better you understand calculus, the better prepared you'll be for undergraduate and graduate economics classes. (Vector calculus, on the other hand—which covers topics like vector fields, line integrals, and Stokes' theorem—almost never shows up in economics.)

Linear algebra is essential, as well. It's used heavily in econometrics and sometimes shows up in macroeconomics. Beyond its specific applications in economics, linear algebra can be a useful course because (depending on how it's taught) it can serve as a bridge from plug-and-chug math to proof-based math.

Optimization is highly recommended, if your school offers a dedicated course in optimization techniques. An optimization class provides a strong grounding in some important mathematical issues that aren't covered in a typical calculus course (such as corner solutions and Kuhn-Tucker conditions).

Real analysis (or modern analysis) is essential, at least for moderately competitive programs. It's a proof-based class, and admissions committees use it as a barometer for whether you're capable of doing higher math. You won't see real analysis much in your undergraduate econ courses, but it's used extensively in graduate courses, and you'll need it to be prepared for a PhD. Real analysis is a difficult course; some schools offer a class like Introduction to Higher Mathematics or Intro to Proof-Based Math, which can be a helpful stepping stone.

Other classes: The classes above are the critical ones, but if you're looking to take additional math classes, consider Ordinary Differential Equations, Discrete Mathematics, and Topology. The more math you take—especially advanced, proof-based classes—the more you'll convey that you're ready for grad school. Also consider taking a course or two in Computer Science.

Statistics and econometrics

At a minimum, you'll need to take Introduction to Statistics (or equivalent) and a course in Econometrics. Beyond these classes, it's helpful to take higher-level courses in Probability Theory and Statistical Inference. Machine learning classes weren't expected when I applied to grad school, but I presume that schools are increasingly looking for ML training, too. Likewise, I wouldn't be surprised if schools have started looking for coursework related to generalized AI.

Some classic textbooks

Should I work as an RA?

In short, yes.

The benefits of an RAship

Admissions committees are looking for students who not only have enough technical training to handle graduate coursework, but are also promising researchers who are committed to careers in economics, equipped to conduct (usuallly empirical) research, and brimming with ideas. Research assistant positions are one of the most effective ways of demonstrating that you're ready. They're also a great way to learn more about whether a PhD program is for you.

Concretely, RA positions train you to manipulate real-world data, conduct econometric analysis, and communicate with professors or managers about what you find. You'll strengthen your coding skills in languages like Stata, R, or Python, and you'll get exposure to the research process, ideally seeing projects at different stages of completion. Perhaps most importantly, there's a strong presumption that the economist(s) you're working for will serve as recommenders, since they can speak credibly to your ability to do research.

Applying for RA positions

While you're still in college, look for a part-time RA position (or full-time over the summer). An undergraduate RA position is a good place to start, and it also makes you a stronger candidate for subsequent research positions.

It's very common, and in some programs expected, for an applicant to work as a full-time RA for one or two years after graduation. Economists hiring full-time RAs screen for the same credentials that PhD programs are looking for, and they're used to supporting students who want to apply for a PhD. Even if you ultimately decide that a PhD isn't for you—as many RAs do—RA positions can give you useful technical and soft skills that can help advance your career.

You can find RA positions here

Be mindful of deadlines: interviews for these jobs often take place early in the academic year, for positions starting in the following summer or fall.

How do I apply to PhD programs?

Application materials

  • Transcript: Coursework and grades receive a lot of weight in the admissions process. Admissions committees will expect you to have taken a standard set of math and economics classes (detailed above) and to have done well in these classes. If you want to maximize your chances of admission, prioritize these classes.
  • Three letters of recommendation: Admissions committees also put a lot of weight on letters of recommendation, typically from professors and employers. All else equal, the strongest letter-writers know you well; are well-known and well-respected researchers; and have worked with you in a research capacity, such as an RA position or a senior thesis. Early in the process, (re)connect with potential letter writers and ask them if they'd be willing to write a recommendation. Keep them in the loop and solicit their advice about how to strengthen your application and where to apply.
  • GRE scores: Study hard and maximize your score on the quantitative section. Since GRE scores are standardized across applicants, admissions committees use them as an early screen for identifying candidates who potentially have the technical skills needed in a PhD program.
  • Statement of purpose (or research statement): Explain why you're applying to PhD programs, describe how you got interested in becoming an economist, summarize two or three research ideas (either projects you're already involved with or projects you hope to pursue), and conclude with a brief summary as well as any comments on why this particular school is a good fit. You want to convey that you know what you're getting yourself into and that you're already learning how to develop viable research ideas.
  • Resume (or CV): A resume gives a quick timeline of your academic and professional career. Since it's meant to be read quickly, keep it to one page (or two pages at the most), and minimize clutter so that it's easy to read. Focus on academic and research experience that's relevant to a research career. There is no need to list every internship you've held or every club you've joined.
  • Personal statement: Some schools require a personal statement, in addition to the research statement. Follow the instructions and explain how your background has informed your decision to pursue a PhD and the research topics you hope to explore.
  • Writing sample: Some programs require a writing sample. If possible, choose a solo-authored piece so that reviewers can assess your own writing. An undergraduate thesis or seminar paper is a good choice, but anything research-oriented is fine—for example, a research proposal you've developed for a fellowship program, or a writeup summarizing a project you've worked on.

Some guidance on the application process