Ranking of Economics Departments Worldwide

The ranking of academic institutions, particularly in specialized fields such as economics, is often a topic of considerable debate and interest within both academic circles and broader society. Researchers, students, and policymakers alike seek to understand the relative strengths of universities, as these rankings can influence funding decisions, student applications, faculty recruitment, and global reputation. In 2005, Rabah Amir of the University of Arizona and Malgorzata Knauff of the Warsaw School of Economics published a notable study, “Ranking Economics Departments Worldwide on the Basis of PhD Placement,” which offers a distinctive perspective on evaluating the quality of economics departments.

The universities that occupy the top positions in Amir and Knauff’s ranking — Harvard, MIT, Stanford, Princeton, and Chicago — are no strangers to acclaim. These institutions have long been leaders in economics, both in terms of the quality of their faculty and the influence they wield within the academic and policy-making communities. At the time of the study’s publication, these institutions were not only renowned for their world-class faculty and research output but also for their ability to attract and nurture some of the brightest minds in the field.

Harvard, ranked first in the study, has been one of the most prestigious and influential universities in the world for centuries. Its economics department is particularly notable for its diversity of research areas, ranging from microeconomics and macroeconomics to econometrics, economic theory, and development economics. The department’s emphasis on interdisciplinary work, as well as its extensive network of alumni, allows its PhD graduates to pursue a wide array of career paths. Harvard’s ability to consistently place its graduates in top academic positions is a testament to its leadership in the field. This success is also due to the institution’s history of producing pioneering economic thinkers, many of whom have gone on to win Nobel Prizes and shape the direction of economic policy worldwide.

Similarly, the Massachusetts Institute of Technology (MIT), ranked second, is known for its strong emphasis on quantitative methods and its highly influential economics faculty. MIT’s economics department has been instrumental in developing new economic theories and methodologies, particularly in the fields of game theory, industrial organization, and labor economics. The department's rigorous approach to economics, combined with its access to cutting-edge research tools and resources, ensures that its PhD graduates are well-prepared to excel in academia. MIT’s consistent ability to place its graduates in leading universities is a reflection of the department's stature and its long-standing commitment to academic excellence.

Stanford, ranked third in the Amir and Knauff study, is another powerhouse in the world of economics. The university’s department is particularly well-regarded for its interdisciplinary approach and its emphasis on empirical research. Stanford’s proximity to Silicon Valley also gives its economics department a unique edge, as many of its PhD graduates have gone on to work in the technology sector or at the intersection of economics and technology. Stanford’s strong focus on applied economics, combined with its high academic standards and exceptional faculty, has made it a desirable destination for top-tier students. Its graduates, in turn, benefit from the department’s global network and its reputation for producing innovative economic research.

Princeton, ranked fourth, is often considered one of the best institutions for the study of economics. Its department is renowned for its strong theoretical foundation, particularly in areas such as macroeconomic theory, econometrics, and public policy. Princeton has produced a number of Nobel laureates in economics, and its faculty includes some of the most influential economists of the 20th and 21st centuries. The university’s small size and intimate academic environment foster close relationships between students and faculty, which is often cited as one of the key reasons why Princeton graduates are so successful in securing prestigious academic positions. The department’s emphasis on both rigorous training and a deep understanding of economic theory equips its PhD students with the tools necessary to succeed in a variety of academic and policy settings.

The University of Chicago, ranked fifth, has long been a leader in the field of economics, particularly in the area of free-market economics and the Chicago School of Economics. The department is known for its strong focus on empirical research and its commitment to applying economic theory to real-world problems. Chicago’s faculty has included some of the most influential economists of the past century, and the department has been instrumental in shaping modern economic thought. Chicago’s PhD graduates, many of whom go on to hold influential academic positions, are well-prepared to contribute to the department's legacy of groundbreaking economic research. The university’s emphasis on individual research and its robust intellectual environment ensure that its students are not only prepared for academia but also for leadership roles in business, government, and international organizations.

The fact that these five institutions consistently rank at the top of the Amir and Knauff study’s list underscores their dominant position in the global economics landscape. These departments not only attract the brightest minds from around the world but also produce graduates who are highly sought after by leading universities, research institutions, and policy organizations. The success of their PhD placement efforts is a direct reflection of their academic rigor, the strength of their faculty, and the global network they provide for their students. Moreover, these universities’ ability to place their graduates in top academic positions further enhances their reputation, creating a feedback loop that ensures their continued dominance in the field.

In conclusion, Rabah Amir and Malgorzata Knauff’s study on PhD placement offers valuable insight into the true measure of an economics department’s success. By evaluating institutions based on the career trajectories of their graduates, rather than just their research output or faculty credentials, the study provides a unique perspective on what makes a department truly exceptional. Harvard, MIT, Stanford, Princeton, and Chicago, as the top five institutions in this ranking, demonstrate the importance of producing not only high-quality research but also graduates who are capable of contributing to the advancement of economics on a global scale. These universities’ sustained excellence in PhD placement is a testament to their enduring leadership in the field, and it highlights the significant role they play in shaping the future of economics.

Rabah Amir (University of Arizona, Eller College of Management) & Malgorzata Knauff (Warsaw School of Economics) have published Ranking Economics Departments Worldwide on the Basis of PhD Placement (2005):

1. Harvard
2. MIT
3. Stanford
4. Princeton
5. Chicago
6. Berkeley
7. Yale
8. Northwestern
9. Oxford
10. LSE
11. Minnesota
12. UPenn
13. Michigan
14. Rochester
15. Penn State
16. Cambridge
17. Columbia
18. UCLA
19. Wisconsin
20. Johns Hopkins
21. Maryland
22. EHESS - Paris
23. Caltech
24. Duke
25. Carnegie Mellon
26. U Paris I
27. Brown
28. UCSD
29. Cornell
30. UCL
31. Toulouse
32. Boston University
33. Virginia
34. UIUC
35. U Aarhus
36. Purdue
37. NYU
38. Pittsburgh
39. Pompeu Fabra
40. Western Ontario
41. U Louvain/CORE
42. UBC
43. ANU
44. U Washington
45. Queen's
46. U Paris 9
47. U Iowa
48. European U Institute
49. Rice
50. SUNY Stony Brook
51. Toronto
52. U Carlos III - Madrid
53. U Autonoma - Barcelona
54. UC Davis