Moved post from PhD Economics Admissions Section - Why don't more people join Finance

[msg0122]

Serious Question: Why don't more people join the Financial Services Industry?

 

There has been a lot of talk about inequality and overcompensation in corporations and finance. If they are making so much more than everyone else why doesn't everyone try to work at hedge funds. It seems many complain about inequality but don't even try to enter these high powered fields but instead chose a career in journalism etc.

Either people aren't into money as much as they say, high barriers to entry exist, the labor market is "rigged", or people are misinformed.

 

Thoughts?

Edited June 21, 2015 by msg0122

[YaSvoboden]

All of your reasons are somewhat true. It isn't like everyone can go run a hedge fund, though plenty try. The hiring game into those types of jobs isn't easy. You need to have the right skills. Also, not everyone wants to do that. The wage inequality thing can't be solves by everyone picking higher earning careers. Though I do think that is good advice for an individual worried about it.

[warhawks]

Here is an interesting article by the nytimes and a Harvard professors thoughts on the subject (you'll see he feels the opposite is true, but that could very well just be because it is Harvard)

 

forgive me if there is a better way to format, I just signed up: http://www.nytimes.com/2015/04/12/upshot/why-a-harvard-professor-has-mixed-feelings-when-students-take-jobs-in-finance.html?abt=0002&abg=1

[davefranco]

well written by someone "If you have a friend whom you see on most days, the increase to your happiness is like earning $100,000 more each year. On the other hand, when you break a critical social tie, it’s like suffering a $90,000-per-year decrease in your income"