The Economics Degree in Australia: Down but Not Out?

Did the Global Financial Crisis Have any Impact on Economics Degree Enrolments?*

“…Table 6 shows that over the last twenty years the nadir in undergraduate student enrolment in economics was 2005 when it fell to just 1.19 per cent of the Australian undergraduate student population. This corroborates the interesting finding by Round and Shanahan (2010, p. 428) showing that the rate of new commencing students in purely economics degrees, per se fell to just 1.07 per cent of all Australian tertiary enrolments (domestic and international) in 2005. Since then enrolments in narrow defined economic degrees as detailed in Table 7 have been increasing albeit at slow pace from 674 in 2005 to 696 in 2007.…”

“…He also found that seven universities did not even offer an economics major in their business degree. In what was the latest survey on the matter Round and Shanahan (2010) agreed with Millmow (2009) that over an eighteen‐year period, economics has steadily lost market share in the Australian tertiary market, although the rate of decline has not been nearly as severe in the noughties as it was in the 1990s, and that, in the last few years, there has been a small increase in economics degree enrolments.…”

Is Academic Economics Withering in Australia?

“…A survey of 35 heads of economics disciplines in Australian universities, undertaken in April 1996, described the causes of falling enrolments as a perception of business studies being more career-focused than economics; that economics was seen as too rigorous or abstract; and that students were less well-prepared in mathematics (Lewis and Norris 1997). Educators suggest we need to respond to changing market conditions by adapting the 'product', the method of delivery, or the appeal of the economics degree to ensure economics is seen as intrinsically interesting and relevant to careers (Round and Shanahan 2010).…”

Factors that Determine the Decline in University Student Enrolments in Economics in Australia: An Empirical Investigation

“…Round and Shanahan () use a ‘narrow’ definition for Australian economics degrees for commencing and honours students to explore enrolments in economics studies between 2001 and 2007. According to their findings, there was an upward trend of commencing students between 2001 and 2003 (increase by 10 per cent).…”

“…According to Alauddin and Butler (), the environment for teaching economics in Australian universities has undergone profound changes that have contributed to the decline in economics enrolments, such as the changing public policy goals, market expansion, internationalisation, working to study and an increasingly diverse clientele. For Round and Shanahan (), three reasons are prominent: a much stronger preference of students for business‐related studies, a failure of academic economists to adjust their teaching methods, content and quality, and the increased accessibility of more (weaker) students to tertiary education in Australia preferring less rigorous subjects to economics. Alauddin and Valadkhani () add to these reasons, the less than appropriate product for an increasingly diverse clientele and the use of less experienced teaching staff in lower undergraduate courses.…”