Master in Applied Economics - The program

  • Overview
  • The program
  • Students & Faculty
  • High-impact careers
  • Admissions & fees
    • Download Brochure
    • APPLY

The Master in Applied Economics Program

Gain hands-on experience and learn from leading industry experts and academics, boosting your career prospects in just ten months. The program is divided into three terms, offering students a mixture of core courses, elective specialist tracks, and a Final Project. Classes will take place in our vibrant and diverse Madrid campus.


Powered by research, methods and data

The Master in Applied Economics gives you all the industry know-how, with a practical twist. The far-reaching study plan is designed to future-proof your skill set. You’ll combine theory, research and data analysis to respond to real-world economic issues, giving you the hands-on experience that recruiters are looking for.

From learning about the fundamentals of economics to analyzing case studies and forecasting from models, you’ll be well-equipped to launch a successful career. Choose from one of three tracks in your third term to specialize and further your skills. From social policy to machine learning, you can be sure that this program offers you the most up-to-date analytical and technical perspectives into current economic issues.


Program structure

The 10-month, full-time program is divided into three terms. The first two terms are made up of core courses, in which students solidify their knowledge of economic policy and theory, deepen their quantitative and analytical skills and experiment with programming. Students work on their professional development specialization in the third term. They choose an elective track that reflects their interests and then work on a Final Project, which takes the form of a research-based academic thesis or a capstone consultation project.

The curriculum begins by consolidating your knowledge with core courses such as macroeconomics and microeconomics, statistics and econometrics. Students then take a closer look at policies, products and operations. Fundamental theories are applied to real-world issues and students develop practical skills, such as forecasting and programming. You’ll also learn about financial markets and institutions, industrial economics and game theory, among others.

From in-person classes guided by experienced faculty to critical analysis and discussion sessions, you’ll be primed to put your skills into practice by the third term. As well as classes designed to hone your strategic management abilities, students must select one of three tracks: Economics for Public Policy, Strategic Analysis for Corporations or Strategic Consultancy and Market Regulation. With a mix of courses, career-boosting electives and a final project, you’ll be all set for a thriving career in applied economics.

Math and Programming: For students coming from either a business or less technical background.
A strong math foundation and programming knowledge is essential to complete the Master in Applied Economics. Candidates coming in without these competencies will need to take this pre-program course to gain these technical skills.


In this course, you’ll analyze the determinants of long-term economic growth, the causes and consequences of short-term economic fluctuations, and the role of macroeconomic policy.

You’ll understand the fundamental principles of macroeconomic theory as it relates to key economic measures such as gross domestic product, national income, inflation, employment and fiscal and monetary policy.

You’ll also study business cycles and gain an understanding of the relationship between policies, behavior and economic performance in specific major sectors.


This course addresses the fundamental principles of microeconomic theory related to consumption, production, economic decision-making and market equilibrium.

You’ll look at the law of supply and demand and the workings of “the invisible hand,” and you’ll examine the theory of expected utility and decision-making under uncertainty, as well as how to use it in economic modeling.

The course assesses the behavior of consumers and firms, teaching you how to derive solutions to problems of labor supply and cost minimization. It also examines the calculation of balanced pricing and output in economic markets, as well as producer and consumer surplus.

International Economics (Trade and Finance)

This course examines the traditional and contemporary theories of international trade, the functioning of tariff and non-tariff trade barriers, and efficient trade policy at national and regional levels.

It will teach you about international macroeconomics, so you can understand currency devaluations, balance of payments and international trade relations. You’ll examine interest and exchange rates in an interconnected global economy, understanding the interplay between monetary policies, sovereign debt and international trade.

The causes and consequences of global financial crises and business cycles are assessed during this course, as students develop models and techniques for analyzing key international economic phenomena.

Public Economics and Taxation (Market Failures, Taxation, and Incentives Analysis)

This course analyzes government taxation and spending activities from a microeconomic perspective, evaluating the consequences of different tax policies for entrepreneurship, productivity, economic growth and social equity.

You’ll study various types of government expenditure, exploring key challenges for market economies such as supply shortages and analyzing how public economic regulation seeks to mitigate market failures.

The course also looks at the role of public intervention such as subsidies, taxes and regulation, demonstrating how regulatory, tax and spending policies vary in different historical, political and economic systems.

Introduction to Financial Markets

The goal of this course is to present the foundations of the financial manager’s decision-making process. It will cover the importance of financial institutions and capital markets, the advantages and disadvantages of financing, debt and other options. The course will take a closer look at how investment banks and their funding schemes work, and it will explore international financial markets and their implications.

In this course, you’ll learn the skills for making corporate investment and financing decisions, including valuation techniques, financial policy or risk analysis of exchange and interest rates.

The course provides a deep view on the evaluation of a firm’s financial performance, financial forecasting, working capital management, financing the short- and long-term requirements of the firm, time value of money, capital and cash budgeting, cost of capital, leverage, and evaluation of alternative methods of financing.

Statistics and Econometrics

This course prepares you to confidently use quantitative methods for economic analysis with software programs such as R, Stata and Python.

The course begins with a rigorous introduction to probability theory and how it relates to statistical analysis, before moving on to cover econometric applications such as linear, maximum likelihood and non-linear models.

You’ll look at common problems of classical least squares and learn to solve them using innovative techniques, all while exploring how to clearly communicate statistical results through visualization and simplification strategies. Throughout the course, you will put theory to practice by applying your newly acquired skills to real-world datasets and relevant databases.

Financial Markets and Institutions

This course is an analysis of financial institutions and their role in monetary policy and the financial system. You’ll examine fundamental aspects of the capital markets, applying this knowledge to specific cases.

You’ll weigh up the advantages and disadvantages of debt financing against other options, assess the structuring of basic debt issuance operations, and gain an understanding of the functioning of the securities markets.

You’ll study how investment banks and their funds work, and explore the integration of international financial markets.

Industrial Economics and Game Theory

This course explores corporate production, pricing and investment strategies under different market conditions, and assesses the differences between business strategies in monopolistic and competitive markets.
You’ll explore strategic advertising decisions and evaluate the considerations underlying companies’ capital investment and R&D decisions, learning to identify the conditions that facilitate or impede the entry of new firms into economic markets.

Concepts such as the Nash equilibrium, dominance, credibility, commitment, asymmetric information, and signaling will be introduced, and you’ll undertake both static and dynamic games using complete and incomplete information.

You’ll learn the key applications of game theory, such as oligopoly models and moral risk, and analyze incentive and participation criteria in principal-agent problems.


Macroeconometrics gives you the quantitative skills necessary to learn the basic analysis of time series data, and addresses the basic concepts in time series regression, automatic regression models and model averaging.

You’ll explore the fundamentals of spectral analysis and space-time models and develop a comprehensive set of tools and techniques for analyzing various forms of time series, including applying stationary time series models, as well as volatility and structural change models.


This course provides the student with advanced econometric tools generally used in the empirical analysis of microdata, and a thorough knowledge of estimation techniques for both panel data and non-linear models.

You’ll model microeconometric data, applying different linear models as alternatives to the multiple linear regression model, and learn to apply discrete choice models, limited dependent variable models and instrumental variable models.

Programming for Economics

In this course, you will learn to use different programming languages (such as Python and R) associated with obtaining massive data from databases, applying them to the management, manipulation, analysis and visualization of different types of data.

You will develop and apply programming models for the analysis of business data for problem solving and study the existing libraries in programming languages currently applied to business analytics. You’ll also explore the modules and algorithms that can be used to facilitate data processing and analysis and solve business analytics problems.

Labor Economics (And The New Social Contract)

Labor Economics explores the forces and processes that determine labor demand, labor supply, labor mobility and wages.
You will assess the role of government policy and regulation in determining labor force dynamics and gain an understanding of the factors that affect both individual decisions to enter the labor market and those taken within it.

You will explore the role of employment and unemployment in the economy, examining the factors that influence firms in making decisions about hiring or firing workers, selecting certain profiles, or determining career paths.

You will also study the role of institutions and government policies on job creation and quality.

Strategic Management and Leadership

In this course, you will gain an understanding of the role of the leader and manager as a strategist, planner, structure designer and decision-maker, using diagnostic reasoning and organizational signals.

You will learn to identify and analyze critical short- and long-term problems facing an organization and make recommendations for solutions to both. You will develop the key leadership skills required to achieve strategic change within organizations.

Project Analysis and Implementation

In this course, you will analyze and prioritize work scenarios according to a designed work plan, learning to adapt and change strategies in the face of unexpected results.

You will develop logical models to design and manage work projects, along with the self-knowledge and patience required when undertaking group projects.

You’ll learn to identify the professional profiles you’ll need to align with project plans established in an international relations context and gain the tools needed to motivate people and manage conflict.

In Term 3, you will choose your elective from the following three tracks:

Track 1: Economics for Public Policy

This is the track for socially conscious professionals looking for a career where you’ll make an impact on large organizations such as the International Monetary Fund (IMF), the World Bank or national governments. In this track, you’ll study subjects such as health, education, labor economics, poverty and urban economics, giving you a comprehensive insight into the art of economic policy-making.

Poverty and Inequality

This subject addresses the complex relationship between economic development and human rights, political freedoms and social equality. Examine how social exclusion can harm economic development, and how subtleties of certain economic policies or projects can reinforce social exclusion.

Health and Education Economics

In this course you will study different healthcare systems, markets and economic models. You will discuss possible economic solutions to the problems presented by various economic systems and market failures.

In the Education classes, you will leverage skills learned in microeconomic data analysis to examine supply, demand and financing in education, including a study of public policy in the sector and the importance of education in economic development and growth.

Regional and Urban Economics and Development

This subject addresses the importance of space within the framework of economic analysis, examining localization within a changing, globalized world. You will understand the theories of regional growth and development as well as the tools for economic analysis and the strategies for regional development issues.

Track 2: Strategic Analysis for Corporations

This track is for ambitious corporate leaders with the desire to master the more technical dimensions of economics. If you’re attracted to economic modeling, rigorous quantitative methods or the application of machine learning and data analytics to business, this is the track for you. Learn to wield the tools behind complex operations, asset management, investment modeling and the modern financial services industry, gaining in-demand skills that few people possess and placing you front and center for positions at the most prestigious companies worldwide.

Machine Learning and Data Management

This course covers the fundamentals of machine learning, both supervised and unsupervised. You’ll examine algorithms and models for factor reduction and PCA techniques, as well as the main regression and classification models, such as LASSO, Ridge and decision trees.

You will also explore data visualization and analyze the different applications and characteristics under which a machine learning technique is applied to economic analytics.

Advanced Quantitative Methods

This course introduces students to the most advanced methods in econometrics, including: ARCH models, GMM, Regime-Switching models, CAPM (Capital Asset Pricing Model) tests, term structure models and volatility models—both implied and stochastic. You will also learn aspects of time series econometrics for stationary and non-stationary variables at different time frequencies.

Experimental Economy: Experiments and Surveys

This course covers the theory and practice of conducting surveys and experiments. Both social science (economics, sociology and psychology) and quantitative methods (mathematics, statistics and computer science) are leveraged to develop a theory of how surveys can best be used to measure important aspects of the human condition.
Key topics include sample design, weighting, data collection models, questionnaire design, non-response analysis and estimation models in surveys. The course also covers randomization, instrumental variables and statistical inference.

Track 3: Strategic Consultancy and Market Regulation

If you’re looking to work for some of the most competitive consulting companies in the world, you’ll need the strategic vision provided by this track. Combine your knowledge of M&A, pricing analysis, project evaluation and market dynamics to become a successful strategic consultant. Completing this track will place you firmly in the headlights of the largest consulting firms in the world.

Economics for Consultancy

This course examines the economic analysis techniques that help companies, regulators and policymakers evaluate and implement strategic decisions. It covers the microeconomic theories, econometrics, quantitative techniques and financial modeling used, alongside corporate experience, to formulate advice for organizations.

Merger and acquisition (M&A) opportunities are studied, along with new tax regulations and the demand for public and private services. The course includes sectoral analysis such as financial services, telecommunications or public services, as well as analysis of competition policy and regulations.

Project Valuation

This course provides students with the tools to evaluate projects for businesses, nonprofit organizations and governments. Concepts covered include project evaluation criteria such as NPV or IRR, discount rates, risk assessment, project timing and project irreversibility.

Regulation of Markets

This course uses the techniques of microeconomic and game theory to analyze the effects of various laws on individual decisions and resource allocation. It covers public choice theory, the economics of property rights, contract law, and tort law.

You will study efficient breach of contract, the determination of damages, the economics of patents and copyrights, optimal liability rules for environmental and other damages, the economics of family law, bankruptcy law, zoning law, antitrust law, and due process.

A Final Project is the culmination of everything you have learned over the course of the program, as you present a coherently argued research project. You will leverage the different research methods, formulation and testing of hypotheses, and results interpretation you have gained to complete a project based on your chosen aspect of economic and human development.