Economic Consulting: What It Is, What They Do, and How to Start

Economic consulting sits at the intersection of data, economics, and real-world problem-solving. An economic consultant helps clients interpret complex data, model market behavior, and make evidence-based decisions across areas like litigation, regulation, and business strategy. Whether advising on antitrust cases or evaluating the financial impact of policy changes, economic consulting offers intellectually rigorous and high-impact work for those who love applied economics.

TL;DR – What You Need to Know

Economic consulting applies economic theory and quantitative analysis to solve real-world business, legal, and policy challenges through data-driven insights and evidence-based recommendations.

• Economic consultants analyze data, build models, and advise on market trends, damages, and regulatory impacts.
• The field differs from management consulting by focusing on quantitative analysis and expert testimony rather than corporate strategy.
• Success in economic consulting requires econometrics, data modeling, communication, and structured problem-solving skills.
• Top economic consulting firms specialize in antitrust, litigation, and policy analysis across industries like finance, healthcare, and energy.
• Entry paths include degrees in economics or statistics, internships, and strong technical skills with clear opportunities for career growth and competitive salaries.

What Is Economic Consulting and Why It Matters

Economic consulting is the practice of applying economic theory, quantitative analysis, and data modeling to real-world issues in business, law, and public policy. Economic consultants use data to explain trends, assess damages, forecast outcomes, and support strategic or legal decisions across industries such as finance, energy, healthcare, and technology.

Economic consulting combines academic rigor with commercial relevance. It helps organizations make decisions grounded in evidence rather than intuition. Firms, government agencies, and law practices rely on economic consultants to quantify impact, evaluate market behavior, and translate complex data into actionable insights.

In the consulting ecosystem, economic consulting sits between management consulting and data analytics. While management consultants focus on strategy and implementation, economic consultants provide the economic rationale behind those strategies. They use techniques like regression analysis, econometric modeling, and scenario forecasting to reveal how markets, prices, or regulations might evolve.

This work is crucial in contexts such as:

• Antitrust and competition cases where consultants evaluate market power and pricing behavior
• Regulatory analysis to assess the impact of new laws or policies on industries
• Litigation support where consultants estimate damages, lost profits, or economic harm
• Public sector evaluations measuring the effectiveness of government programs

Economic consulting matters because it transforms abstract economic principles into decisions that shape markets, legal outcomes, and corporate strategies.

What Does an Economic Consultant Do?

An economic consultant analyzes data, builds models, and applies economic principles to solve business, legal, or policy problems. They work on cases involving competition, damages, and market forecasting, helping clients interpret complex information and make evidence-based decisions in industries like finance, healthcare, energy, and technology.

Economic consultants act as data translators between theory and practice. Their work involves transforming raw datasets into clear insights that inform high-stakes decisions. In many cases, they collaborate with lawyers, corporate executives, and government agencies to evaluate economic impact and quantify outcomes.

Common responsibilities include:

• Conducting data analysis and statistical modeling using tools like Stata, R, or Python
• Building econometric models to forecast trends or measure damages
• Preparing expert reports and summaries for legal proceedings
• Supporting merger and acquisition reviews through competition analysis
• Assessing policy or regulatory changes and their economic implications

Economic consultants also provide crucial support in litigation contexts. For example, in an antitrust case, they may estimate how a merger affects market competition or consumer pricing. In intellectual property disputes, they calculate the financial impact of patent infringement or lost profits.

Their work is highly analytical but also interpretive you must not only run regressions but explain results clearly to non-technical audiences.

Economic Consulting vs Management Consulting

Economic consulting focuses on quantitative analysis, modeling, and expert evaluation of market or legal issues, while management consulting centers on strategy, operations, and implementation. Economic consultants often work with lawyers or regulators, whereas management consultants advise executives on business growth, efficiency, and organizational performance.

Both fields use problem-solving but differ in purpose and scope. Economic consultants rely on econometrics, data, and microeconomic theory to explain cause and effect. Management consultants, on the other hand, apply frameworks like market entry or cost reduction to guide business strategy.

Key differences include:

• Focus: Economic consulting deals with data-driven insight; management consulting focuses on strategic execution
• Clients: Economic consultants support legal teams, regulators, or policymakers; management consultants serve corporate executives
• Output: Economic consultants produce detailed reports or expert testimony; management consultants deliver strategic recommendations and plans
• Skills: Economic consulting emphasizes statistical and analytical expertise; management consulting values structured thinking and communication

If you enjoy applied economics and quantitative work, economic consulting may be a better match than broader strategy roles.

What Skills Are Needed to Succeed in Economic Consulting?

To succeed in economic consulting, you need strong quantitative, analytical, and communication skills. Mastery of statistics, econometrics, and data tools like R, Python, or Stata is essential. Equally important are writing, critical thinking, and the ability to explain complex results clearly to clients and non-technical audiences.

Economic consulting requires a blend of hard and soft skills. On the technical side, you’ll rely heavily on mathematics, regression analysis, and data visualization. On the human side, you must communicate findings persuasively and structure your arguments logically.

Core skills include:

• Data cleaning and econometric modeling
• Statistical programming (Stata, R, Python, or Excel)
• Critical thinking and structured problem-solving
• Business writing and report preparation
• Presentation and storytelling for client audiences

These skills make consultants effective at bridging the gap between economic theory and business application.

Top Economic Consulting Firms to Know

Top economic consulting firms provide expert analysis for legal, policy, and business challenges using data and economic models. Leading players include global firms specializing in antitrust, intellectual property, and regulation, as well as boutique consultancies focused on niche areas such as healthcare, energy, or finance.

Economic consulting firms vary in size and specialization. Some operate globally, offering comprehensive litigation and regulatory services, while others focus on specific industries or regional markets.

Examples of firm categories include:

• Global leaders known for large-scale litigation and competition analysis
• Boutique firms specializing in particular sectors or methodologies
• Integrated practices that combine economics with broader management consulting

Firms typically employ economists, statisticians, and analysts who apply academic-level theory to solve high-stakes problems in business and government.

How to Become an Economic Consultant

To become an economic consultant, earn a degree in economics, statistics, or a related field, build data analysis and programming skills, and gain experience through internships. Many consultants hold advanced degrees, but strong quantitative ability and communication skills can open entry-level opportunities in the industry.

Economic consulting values both academic preparation and applied experience. The typical path includes:

1. Education: Pursue coursework in economics, mathematics, or econometrics.
2. Skills: Learn coding tools such as Python, Stata, or R.
3. Experience: Secure an internship or research assistant role to build exposure.
4. Applications: Target analyst positions at consulting firms or research groups.

If you’re transitioning from another background, quantitative proof points like data projects or research experience can strengthen your profile.

Economic Consulting Careers and Job Paths

Economic consulting careers offer structured growth from analyst to partner. Early roles focus on data analysis and research, while senior consultants lead projects, manage clients, and provide expert testimony. The field attracts analytical thinkers seeking impact across business, law, and public policy.

Career progression often follows a clear ladder:

• Analyst or Research Assistant
• Associate or Senior Associate
• Manager or Principal
• Director or Partner

Each level brings more responsibility for modeling, communication, and leadership. Many professionals later move into roles in finance, government, academia, or data science.

Because of its analytical rigor, experience in economic consulting is highly valued across sectors.

Economic Consulting Internships and Early Experience

Economic consulting internships provide hands-on experience in research, data modeling, and analysis. Interns support consultants by cleaning datasets, building regressions, and drafting client deliverables. These programs help students test their interest in consulting and often lead to full-time job offers.

Most firms offer structured summer internships for undergraduate or master’s students. A typical project might involve market data analysis, pricing research, or evaluating the economic effects of regulation.

To stand out, you’ll need proficiency in Excel and one statistical software, strong attention to detail, and clear communication skills. Successful interns often receive full-time offers upon graduation.

Inside the Economic Consulting Case Interview

The economic consulting case interview tests your ability to apply data analysis and economic reasoning to real-world problems. Candidates interpret graphs, run regressions conceptually, and explain the logic behind their approach to quantitative and qualitative questions.

A typical case might ask you to assess market impact, forecast demand, or estimate damages using limited data. Unlike management consulting cases, these interviews emphasize numerical reasoning and structured analysis.

To prepare, review:

• Microeconomic theory and market equilibrium
• Regression interpretation and basic statistics
• Real case studies and practice datasets

Confidence comes from repetition practice interpreting data clearly and communicating your logic step by step.

Economic Consultant Salary and Compensation Trends

The average economic consultant salary in the United States ranges from $75,000 to $95,000 at entry level, rising to $120,000–$150,000 for associates and over $200,000 for experienced consultants. Compensation varies by firm size, education level, and specialization.

Salaries often rival those in management consulting, especially at top-tier firms. Bonuses can add 20–30 percent of base pay, with higher incentives for PhD holders or those involved in expert testimony.

Key factors influencing pay include:

• Education and advanced degrees
• Industry specialization (finance, energy, healthcare)
• Geographic location (New York, Washington DC, San Francisco)
• Firm reputation and client portfolio

Economic consulting offers strong earning potential and career stability while allowing professionals to work on meaningful, data-driven problems.

Is Economic Consulting a Good Career Choice?

Economic consulting is a strong career choice for analytical thinkers who enjoy applying economics to real-world challenges. It offers competitive pay, intellectual variety, and long-term stability, combining academic depth with business relevance. Professionals gain skills valuable in consulting, finance, and policy roles.

Economic consulting suits individuals who like evidence-based reasoning and measurable impact. You’ll engage in rigorous analysis while collaborating with experts from law, policy, and business.

Career satisfaction often comes from seeing your analysis influence real decisions, such as a merger approval or a policy revision. For many, that mix of intellectual challenge and practical consequence makes economic consulting a deeply rewarding path.

Frequently Asked Questions

Q: What degree do you need for economic consulting?
A: Most economic consulting roles require a bachelor’s or master’s degree in economics, statistics, mathematics, or a related quantitative field to handle advanced data and econometric analysis.

Q: How to break into economic consulting?
A: To break into economic consulting, gain strong quantitative and programming skills, complete relevant internships, and demonstrate applied economic reasoning through projects or research experience.

Q: What are the Big 4 economic consulting firms?
A: The Big 4 economic consulting firms include Deloitte, PwC, EY, and KPMG, which offer specialized economic advisory services alongside broader management and financial consulting.

Q: What is the difference between consulting and economic consulting?
A: The difference between consulting and economic consulting lies in focus; consulting emphasizes strategy and operations, while economic consulting applies data-driven economic analysis to legal, policy, and market issues.

Q: How many hours do economic consultants work?
A: Economic consultants typically work 45 to 60 hours per week, with schedules varying by project deadlines, client needs, and the intensity of ongoing litigation or research cases.