Economics is watered down Financial mathematics.
Yes this is very true. It really depends what type of economics you want to get in to eventually.
Economics degrees can also come in two flavours - a BA and Bsc.
Physics degrees are of high value to employers. The reasoning and 'transferable skills' you get are very good. I've known of a few maths/physics PhDers to go in to finance after.
Most of what you learn at uni you'll probably never use again outside of academic/research orientated careers. It's about doing what interests you as you're doing it for a few years and the 'skills' you pick up in reasoning, thought process etc.
Even doing an economics degree to go in to economics doesn't really 'prepare' you for real world economics usage. It certainly aids you in some aspects but a physics graduate could no doubt pick up what's needed and has already demonstrated the capacity to do so and will (assuming an interest in it).
I have a friend from undergrad who did joint maths and economics. He then did an economics masters. He said the maths helped him more than the economics undergrad for the masters. He now has a job for the 'centre for social and economics research' or something like that. He said it's pretty dumbed down economics/maths (uses excel lol) and only uses a little of what he learnt and it's more about the job itself, but nevertheless it's given him the 'right way of thinking'.
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