What Does an Economic Analyst Do?

Economic analysts are responsible for providing insight into the economic health of a region or country. They commonly work with government agencies, but may also be employed by private companies or organizations.

Economic analysts use a variety of data sources to track and analyze economic trends in their area of focus. This might include things like employment rates, consumer spending habits, housing prices, etc.

Economic Analyst Job Duties

Economic analysts typically have a wide range of responsibilities, including:

• Recommending new policies based on research findings, including the implementation of new programs or changes to existing programs
• Meeting with company representatives to discuss current trends and market conditions
• Conducting cost-benefit analyses of proposed projects or policies to determine their financial feasibility
• Preparing reports detailing findings and making recommendations to executive leadership on issues such as economic growth trends, inflation levels, energy prices, etc.
• Conducting research on economic trends and making forecasts based on that research
• Communicating with clients to gather data and answer questions about reports or forecasts
• Conducting surveys to gather information about public opinion on topics such as consumer spending habits or political affiliations
• Developing models to forecast future economic trends using historical data
• Reviewing economic data, such as interest rates, unemployment rates, inflation rates, and tax rates, to assess current conditions

Economic Analyst Salary & Outlook

The salary of an economic analyst can vary depending on a number of factors, including their level of education, years of experience, and the size and industry of the company they work for.

• Median Annual Salary: $82,500 ($39.66/hour)
• Top 10% Annual Salary: $132,000 ($63.46/hour)

The employment of economic analysts is expected to grow faster than average over the next decade.

Employment growth will be driven by the continued need for economic analysis in a variety of fields, such as healthcare and real estate. In addition, demand for these workers will stem from the increasing complexity of economic issues facing governments and businesses.

Related: Economic Analyst Interview Questions and Answers

Economic Analyst Job Requirements

To become an economic analyst, you will likely need:

Education: Most employers require economic analysts to have a bachelor’s degree in economics, finance or another closely related field. Some employers prefer candidates who have a master’s degree in economics or business administration.

Many universities offer bachelor’s and master’s degrees in economics. These programs typically include courses on macroeconomics, microeconomics, econometrics, statistics, business law and finance.

Training & Experience: Economic analysts typically receive on-the-job training once they start working for a company. This training may include learning the company’s specific software and procedures. It may also include shadowing an experienced economic analyst to learn more about the role.

Certifications & Licenses: Economic analysts do not require any certifications to earn their position. However, some certifications can give an economic analyst a competitive edge over other candidates vying for the same positions. There are several different certifications available for economic analysts to help them further their knowledge in various aspects of economics and finance.

Economic Analyst Skills

Economic analysts need the following skills in order to be successful:

Data analysis: Data analysis is the ability to interpret and understand large amounts of data. This is an important skill for economic analysts because they often need to analyze large amounts of data to make predictions about the future of the economy.

Financial modeling: Financial modeling is the process of creating financial statements and other financial data using economic analysis. This is a crucial skill for an economist, and it’s also important for an economist to understand how to read and interpret financial models.

Communication: Communication is the ability to convey information to others in a clear and understandable manner. As an economist, you may be required to present your findings to a group of people who may not have a background in economics. Therefore, it’s important to be able to explain complex economic theories in a way that others can understand.

Problem-solving: Problem-solving skills are necessary for economic analysts to have, as they often work to find solutions to economic problems. For example, if an economic analyst is working for a government, they may be tasked with finding ways to increase the country’s gross domestic product or decrease unemployment rates.

Business knowledge: Business knowledge is another skill that can be helpful for economic analysts. This is because they often work with businesses and companies to help them understand their financial situations. Having knowledge of business practices can help analysts explain economic data to their clients.

Economic Analyst Work Environment

Economic analysts typically work in offices, although they may travel to attend conferences or meet with clients. They usually work regular business hours, although they may need to work overtime to meet deadlines. Economic analysts typically work on teams with other analysts, economists, and statisticians. They may also work with financial analysts, accountants, and auditors. Economic analysts use computers extensively in their work, and they must be proficient in using spreadsheet and statistical software programs.

Economic Analyst Trends

Here are three trends influencing how economic analysts work. Economic analysts will need to stay up-to-date on these developments to keep their skills relevant and maintain a competitive advantage in the workplace.

The Growth of Data Science

The growth of data science is a trend that is quickly changing the way businesses operate. As more and more data becomes available, businesses are starting to realize the value of having a data scientist on staff who can help them make sense of it all.

Economic analysts can capitalize on this trend by becoming experts in data science. This will allow them to provide valuable insights to businesses about how to use data to make better decisions.

More Use of Big Data

As businesses become more reliant on big data, economic analysts will need to learn how to use it effectively.

Big data refers to the large amounts of information that businesses collect every day, such as customer transactions, social media posts, and web browsing activity. Economic analysts can use this information to understand what customers want and how to best meet their needs. They can also use it to predict future trends and make better business decisions.

Greater Focus on Cybersecurity

As businesses become more reliant on technology, the need for cybersecurity professionals will continue to grow. Economic analysts who are able to assess the risks associated with different investments can utilize this knowledge to help businesses protect themselves against cyberattacks.

In addition, economic analysts can also play a role in helping businesses develop strategies for dealing with data breaches. By understanding the legal and financial implications of data breaches, economic analysts can help businesses prepare for the worst-case scenario and mitigate some of the damage that can be done.

How to Become an Economic Analyst

A career as an economist can be rewarding in many ways. It offers the opportunity to work with data, develop theories and models, and make policy recommendations that can have a real impact on people’s lives.

However, it is important to note that there are many different paths you can take as an economist. You could work for a government agency, a think tank, or a private company. You could specialize in a particular area of economics, such as labor economics, environmental economics, or monetary economics. Or you could choose to focus on a specific country or region.

No matter which path you choose, it is important to keep learning and developing your skills. Read about current economic issues, attend conferences and workshops, and connect with other economists online.

Advancement Prospects

Advancement prospects for economic analysts are good. Many analysts begin their careers in junior positions and then move up to senior positions as they gain experience and knowledge. Some analysts may eventually move into management positions, overseeing the work of other analysts. Others may choose to start their own consulting businesses. Still others may move into teaching positions at colleges or universities.

Economic Analyst Job Description Example

The economic analyst will be responsible for providing support to the economic development team in the form of analysis, research, and writing. The analyst will be responsible for conducting economic and market research, preparing reports and presentations, and assisting with the development and implementation of economic development strategies. The analyst will also be responsible for staying abreast of current economic trends and providing updates to the team on a regular basis. The ideal candidate will have a strong background in economics and market research, excellent writing and communication skills, and the ability to work independently.

Duties & Responsibilities

• Conduct economic research and analysis to support decision-making for clients in the public and private sector
• Develop econometric models and statistical analyses to test hypotheses and forecast economic trends
• Write clear and concise reports on findings, present results to clients, and make recommendations based on data-driven insights
• Stay up-to-date on relevant industry news and developments, as well as changes in government policy that could impact the economy
• Monitor economic indicators such as inflation, employment, gross domestic product (GDP), and interest rates
• Use Excel, STATA, R, or other software programs to manipulate large data sets and run complex analyses
• Collaborate with team members on projects, providing guidance and mentorship as needed
• Attend conferences and networking events to build relationships with potential clients
• Proactively identify new business opportunities and contribute to the development of proposals
• Manage multiple projects simultaneously while meeting deadlines and client expectations
• Train and supervise junior analysts, as needed
• Perform ad hoc analysis and special projects, as requested

Required Skills and Qualifications

• Bachelor’s degree in economics, finance, or related field
• 1-2 years professional experience in economic analysis or research
• Exceptional analytical and critical thinking skills
• Strong mathematical ability and statistical analysis skills
• Excellent writing and communication skills
• Proficient in Microsoft Office, with aptitude to learn new software and systems

Preferred Skills and Qualifications

• Master’s degree in economics, finance, or related field
• 3-5 years professional experience in economic analysis or research
• Experience working with econometric models and software
• Familiarity with macroeconomic concepts and theories
• Ability to effectively present complex economic data and analysis to non-experts