Economics Major

Economics Major

Economics

Major

Economics is the study of how to make optimal decisions in a scarce environment. This major focuses on applying economic theory to the practice of leadership.

Offered by the Department of Social Sciences.

Do you want to understand why gas prices go up, how budgets are built, or what causes inflation and recessions? Are you curious about how the U.S. funds its military or how money influences national security and world affairs? The Economics major at the United States Military Academy at West Point gives you the tools to think like a leader, make smart financial decisions, and solve real-world problems that matter to the Army - and the world.

This major helps you become a leader who understands how resources, people, and power move - so you can move with them, and ahead of them.

What is Economics?

Economics is the study of how resources, money, markets, and decision-making shape our world - from individual choices to global policies. Economics is the study of how to make optimal decisions in a scarce environment. Leadership and economics go hand-in-hand. Cadets study how people, businesses, and governments make decisions, and how those decisions affect things like growth, trade, security, and national defense.

This major blends analytical thinking, data analysis, and leadership, preparing cadets to understand both the economic forces behind military operations and the bigger picture of global affairs. It offers an honors track. 

Economic Theory

Economic theory 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.

Why Consider Economics at USMA?

At West Point, the Economics major turns interest in how the world works into leadership-ready skills that make graduates effective on the battlefield, in the boardroom, or in public service. It’s a smart choice for cadets who want to understand complex systems and make a real impact.

  • Learn How the World Works
    Economics helps explain why prices rise, why wars are fought, how trade works, and what drives human behavior. It’s about understanding cause and effect in big systems.
  • Strategic Thinking for Army Leaders
    Whether a USMA graduate is managing a budget, advising on policy, or planning missions, economic thinking helps them weigh costs, benefits, and risks - a crucial skill in leadership.
  • Prepares Graduates for Many Branches
    Economics majors do well in branches like Military Intelligence, Cyber, Engineers, Finance, Civil Affairs, and more. The major also provides deep proficiency in quantitative methods, particularly nonlinear optimization, for more specialized areas such as operations research, resource management, and strategy.
  • Gain Real Skills
    Cadets develop strong abilities in critical thinking, statistics, data analysis, problem-solving, and communication - skills that make them highly effective both in the Army and after.
  • Path to Elite Careers or Grad School
    This major sets cadets up for graduate programs in economics, public policy, law, or business, and civilian careers in government, finance, or international relations.

What To Do With This Major?

Economics gives graduates a flexible, powerful toolkit to use in nearly any Army branch or civilian career. Graduates go on to:

  • Military Intelligence, Logistics, or Finance Roles
  • Public Policy, Cyber Operations, or Civil Affairs
  • Graduate School in Economics, Business, or Public Policy

As Economics majors, graduates will be well-prepared to:

  • Lead in finance, logistics, intelligence, or strategic planning roles in the Army
  • Work in policy, economics, or business after your military service
  • Attend top graduate programs in economics, MBA programs, law, or public policy

Interested Cadets

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

If you’re a critical thinker who likes numbers, strategy, and big-picture ideas, the Economics major at West Point could be for you. Economics isn’t just about money - it’s about how people, governments, and nations make choices with limited 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.

Why Consider This Major

For someone who likes solving real-world problems, understanding how systems work, or making strategic decisions, this major is a powerful and practical choice. 

Cadets should consider the Economics major if they:

  • Like analyzing problems and finding smart solutions
  • Are interested in global issues, business, or policy
  • Want to develop strong reasoning, math, and decision-making skills
  • See themselves leading in strategic roles inside or outside the Army

The program focuses on principles referred to as the "The Economic Leader," where students take what they learn in the classroom and apply economic principles to effective organizational management and leadership. 

What Cadets Learn

Economics is about decision-making. Cadets study how individuals and organizations optimally allocate scarce resources. As economics majors, cadets get a strong foundation in both theory and application. Courses cover topics like:

  • Microeconomics – Learn how individuals and businesses make decisions
  • Macroeconomics – Explore how national economies grow, shrink, and change
  • Quantitative Methods – Use data and math to understand trends and outcomes
  • Economic Policy & Strategy – Study how government spending, taxes, and trade impact the world

Cadets also complete a capstone research project that applies economic tools to real-world issues - often focused on military or global challenges - and sometimes partnering with Army units or government agencies. Past projects have included:

  • Analyzing the cost of a new Army system
  • Studying economic trends in a global conflict zone
  • Building a model to improve military supply chains

Choice of Electives

Cadets customize their path by choosing electives that match their interests and goals:

  • Defense Economics – See how military budgets and policies are shaped by economic forces
  • Development Economics – Learn how countries grow their economies and reduce poverty
  • Behavioral Economics – Explore how psychology influences financial decisions
  • Environmental & Energy Economics – Understand the cost of sustainability and energy policy
  • Financial Markets and Institutions – Dive into banking, investing, and the global economy

Learn More

  • View the full Economics major curriculum
  • Meet the Economics faculty

Cadets in this major have the opportunity to apply for a summer Academic Individual Advanced Development (AIAD) program, USMA-run academic enrichment experience. This major offers an honors track. 

Honor Societies:

To learn more about enrichment for this area of study, visit the Department of Social Sciences or Office of Economic and Manpower Analysis.