The Secret to Great Finance & Economics Research: Start with What You Find Fascinating

The best research ideas in the field of finance and economics are always the ones that you find interesting. You navigate to instinctively because of your own personal interests. What you need to do is go and find a specific phenomenon that you find curious that you spend a great deal of time doing, and then think about the construct of what you’re looking at and very abstract way. And then what you will do is you will iterate between thinking about this interesting phenomenon and the theoretical construct that you’re developing.

[reporter]

Very good approach to exploring research ideas. I really, really, needed to hear this topic.
Indeed, I have been struggling with figuring out how to navigate finding topic ideas for my research. Naturally, I started with the journal approach looking at what has already been done. And I agree with you - it is possible to find topics, but it really is the default - looking at what has already been done. I've also tried a little bit of the current event approach. However, I've never given much thought to the introspective approach asking what are some of the kinds of things that I really like and what also drives my curiosity.
Currently, I'm trying to explore topics in economics on Game Theory and how firms use this concept to strategize and maintain a competitive advantage. Since I'm at the undergraduate stage, I don't have as much in-depth research experience on which to draw, because I haven't had as many years in the academy as it relates to Game Theory, but I still feel that some of the approaches that you offered such as relying on my curiosity are not impossible at my level. Therefore, at the moment, I'm reading as much as I can on Game Theory and Strategy. Again, thank you kindly for this timely advice!

[colasmimi]

Hi professor. Thanks for your advice. Why do mature economists discourage young ones to pursue theoretical questions. By young I mean graduate students. Why is the common thing empirical research? In my opinion a lot of empirical research have observations and results which are useless and will never be considered as an option for policy makers.