BSc in Economics or BSc in Econometrics/Mathematical Economics ?

Graduate School
1

<p>I would like to know which of the two degrees above offered by the London School of Economics would be better for applying later to a PhD program in economics in the US. Here are some further details on the sample curriculum for both degrees:</p>

<p>BSc in Econometrics and Mathematical Economics (LSE)</p>

<p>Year 1:</p>

<p>Economics B
Mathematical Methods
Elementary Statistical Theory
Outside option</p>

<p>Year 2: </p>

<p>Microeconomic Principles
Principles of Econometrics
Further Mathematical Methods<br>
Probability, Distribution Theory and Inference</p>

<p>Year 3:</p>

<p>Econometric Theory <em>or</em> Mathematical Economics <em>or</em> Problems of Applied Econometrics
Macroeconomic Principles
Elective course in Economics (e.g. Monetary Economics, International Economics, Labour Economics, or Industrial Economics)
Project in Quantitative Economics</p>

<hr>

<p>BSc in Economics (LSE)</p>

<p>Year 1: as above.</p>

<p>Year 2: </p>

<p>Microeconomic Principles
Principles of Econometrics
Macroeconomic Principles<br>
Outside option</p>

<p>Year 3:</p>

<p>Four elective courses in Economics and/or Mathematics, typically:</p>

<p>Econometric Theory <em>or</em> Mathematical Economics <em>or</em> Problems of Applied Econometrics
Monetary Economics
International Economics</p>

<p>Plus</p>

<p>Further Mathematical Methods <em>or</em> Game Theory <em>or</em> Principles of Finance <em>or</em> Another Economics course.</p>

2

<p>A few additional explanatory notes:</p>

<p>1) “Mathematical methods” covers differential calculus for (real-valued) functions of several variables/basic optimization theory + ordinary differential and difference equations + linear algebra (up to eigenvalues/eigenvectors and matrix diagonalization).</p>

<p>2) “Further mathematical methods” covers integral calculus for (real-valued) functions of several variables + Laplace transforms + further linear algebra (Jordan forms, singular value decomposition, orthogonal projections, least-squares problems and pseudo-inverses). </p>

<p>3) Economics B covers introductory Microeconomics and Macroeconomics; Microeconomic Principles and Macroeconomic Principles are intermediate-level classes;
Principles of Econometrics is an intermediate-level introduction to econometrics.</p>

<p>4) Entry-level requirements for both degree courses include math up to AP Calculus AB. </p>

<p>5) All listed courses are one-academic-year long unless otherwise noted.</p>

<p>6) An “outside option” is normally a course taken in any LSE department other than economics or mathematics (e.g. sociology, philosophy, anthropology, political science, history, or law).</p>

3

<p>Top graduate programs in economics in the US require a lot of math and less economics.</p>

<p>According to Greg Mankiw, a Harvard economist, any aspiring economists should take these maths in UG -</p>

<p>Calculus I
Calculus II
Multivariate Calculus
Linear Algebra
Differential Equations
Real Analysis
Game Theory
Mathematical Statistics
Probability Theory</p>

4

<p>Sligh_Anarchist: the topics you mentioned above are (or can be) roughly covered in the two BSc degrees I described before, especially the BSc in Econometrics/Mathematical Economics. Note that Calculus I and Calculus II are covered in UK A-levels and, therefore, entry-level university math classes in the UK already begin with Multivariable Calculus, Linear Algebra and Differential Equations. </p>

<p>Anyway, considering US graduate programs give more weight to a math background than economics properly, do you think that the alternative BSc in ** Mathematics and Economics ** offered by the LSE would be a better option ? Here is a sample of the curriculum for that latter degree.</p>

<p>Year 1:</p>

<p>Economics B
Mathematical Methods (<em>)
Elementary Statistical Theory
Introduction to Abstract Mathematics (</em>*).</p>

<p>(*) Multivariable differential calculus, elementary differential equations, and linear algebra.</p>

<h2>(**) A “gentle” introduction to elementary set theory, number theory, abstract algebra, and analysis, with an emphasis on formal definitions and proofs. </h2>

<p>Year 2:</p>

<p>Microeconomic Principles
Further Mathematical Methods (Multivariable Integral Calculus and Further Linear Algebra)</p>

<p>Plus</p>

<p>One half-unit (one-semester) course in Real Analysis + another half-unit in either optimization theory, advanced differential equations, discrete mathematics, or algebra and number theory</p>

<p>Plus </p>

<p>A choice of Macroeconomic Principles or Principles of Econometrics or Principles of Finance.</p>

<hr>

<p>Year 3</p>

<p>A choice of Econometric Theory (Principles of Econometrics required) or Advanced Economics Analysis (Macroeconomic Principles required)</p>

<p>Plus</p>

<p>Two half-unit (i.e. one-semester) courses in Mathematics (include any of the options above not taken at year 2 plus game theory, chaos in nonlinear dynamical systems, advanced probability, etc.)</p>

<p>Plus</p>

<p>One elective course in Economics (including Principles of Econometrics and Macroeconomic Principles if not taken at Year 2)</p>

<p>Plus</p>

<p>An outside option.</p>

<p>What do you think ?</p>

5

<p>Honestly, any choice would be fine. Choose what would be most interesting and intellectually stimulating to you. You are attending a very prestigious school of economics with an insanely tough curriculum (in any of your options). Just do well in your courses! :)</p>

6

<p>If I had to go with my gut response, I would say that the “Econometrics and Mathematical Economics (LSE)” route is probably going to best prepare you for Graduate school in Economics. The more prepared you are in quant (for the most part) the better you’ll likely be able to handle econ grad school (which as you may know has been sometimes described as a slightly less mathematical version of a Math PhD. program). However, I do not think you should make your course/program choices entirely on your future desire to be a professional economist. Explore a little bit and find out if you actually find it interesting (or more specifically, if you find the work one does in the field interesting). That definitely involves taking some math/quantitative economics courses, but it’s important that you search without a direct end in mind (that is, don’t take classes because you/most people on this board think that it will help you get into graduate school). It is absolutely essential that you personally determine that you like the real work of economics. Also, your professors will probably be able to give you better advice throughout the process than anyone here.</p>