Economics

The economics major provides critical thinking skills applied to human behavior and answers the following questions: What is produced, how is it produced, and to whom is it allocated? Mathematical models are used to develop and test optimal resource allocation mechanisms. These models also provide the necessary foundation to analyze policy regimes within individual markets as well as aggregate economies. These skills are directly applicable to decision makers in tactical command positions who must achieve desirable outcomes with personnel and equipment constraints as well as national strategic decision makers who face similar aggregate constraints. The economics major also provides deep proficiency in quantitative methods, particularly nonlinear optimization, for more specialized areas such as operations research, resource management, and strategy. 

Economics is the study of how to make optimal decisions in a scarce environment. Leadership and economics go hand-in-hand. In our economics program, we focus on principles that we call "The Economic Leader," where students take what they learn in the classroom and apply economic principles to effective organizational management and leadership. 

This major offers an honors track. 

Economics is about decision-making. We study how individuals and organizations optimally allocate scarce resources. 

At its foundation, economics is the application of simple, but powerful ideas that govern how people make decisions, how they interact, and how an economy works. Mastering economics will allow you to maximize benefits in your life.

Economic theory also has important implications for the practice of leadership that we call the Economic Leader Principles:

• There is a trade-off in every decision a leader makes. What we give up constitutes the opportunity cost of a decision.
• Rational leaders think and decide on the margin.
• Life is a coordination problem, and people respond to incentives.
• Leaders realize the benefits from trade by facilitating specialization and comparative advantage.
• Leaders take appropriate risks, balancing gathering additional information and being decisive.
• Leaders have a normative responsibility to balance efficiency with equity.

To learn more about the economics discipline and majoring in economics at West Point, check out our videos and outside resources: 

• What is Economics?
• Careers in Economics (AEA)
• Careers in Economics (Josh Angrist) video
• Watch our video: Cadet Perspective: What is it like to major in Economics at West Point
• Watch our video: A Career in Economics (From the American Economic Association)
• Watch our video: The Economics Major at West Point
• Listen to our podcast: West Point Cadets on Why They Chose to Major in Social Sciences

To learn more about the program, contact the Economics Department Academic Counselor.