According to The Wall Street Journal, the popularity of
economics as an undergrad major is rising: Up 40% in the US in
the past 5 years, and the #1 major at Harvard, Columbia, and NYU. Even
in Russia and Poland—or, when you think about it, especially in
Russia and Poland—its popularity is surging. It comes
at the expense of history (not a good thing), political science (a very
good thing), and sociology (a spectacularly good thing).
With plausible, if not slam-dunk, justification, the reporter attributes
the shift to a perception by undergrads that economics will be perceived
as a smart choice for the job market after graduation.
Be that as it may—and I cede pride of place to no one in my belief
in the intrinsic value of a classic, well-rounded "liberal arts" education—the
good news here is that anything under the sun we can do to increase the
economic literacy of the American populace is a per se good. Until
the majority of people, and politicians, understand such rock-bottom
principles as opportunity cost, unintended consequences, dynamic vs.
static analysis, and even good old supply and demand, we will continue
to make bone-headed public policy decisions such as requiring the last
0.01% of asbestos removal, at a price per life saved of about half a
billion dollars, instead of installing more highway guardrails, at a
price per life saved of about $25,000.
