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What is an Economic Expert?

When injuries result in long-term financial implications, economic experts play vital roles in accurately assessing the ongoing financial burden. LCPMD is proud to have a PhD level economist as part of our team of experts. Our economist provides analysis and testimony regarding economic damages resulting from personal injury. Various factors are addressed in the economist’s report, as applicable, and may include lost wages, loss of earning capacity, future medical expenses, and costs of future household services. Future economic factors are considered in the calculation of these costs so that a more precise present value is obtained.



What Can an Economic Expert Do for You?

If your client is in a position of suffering personal injury or illness, it is crucial to seek expert advice. An economic expert will analyze the financial aspects of your case, including medical expenses, rehabilitation costs, loss of earnings, diminished earning capacity, property damage, and other relevant expenses to project costs for an allotment of time or even a lifetime. An expert economist should:

  • Provide comprehensive analyses of essential factors, simplifying complex jargon into layman’s terms

  • Ensure jurors are able to understand the presented information and educate them about the full impact of injuries in relation to finances and the implications for future planning

  • Meticulously examine financial records, recommendations for future care, employment information, and other pertinent documents to gather necessary data for a sound report

  • Utilize quantitative methods, statistical models, and economic principles to determine the present value of economic damages

  • Provide a comprehensive report and expert testimony that accurately assess and value economic losses for settlement negotiations or court proceedings


What Skills Are Needed to be an Economic Expert?

  • Objectivity to provide a well-justified expert opinion, grounded in economic literature

  • A deep understanding of economic principles and methodologies

  • Strong analytical and quantitative skills to accurately assess and quantify the financial impact of injuries accurately

  • Excellent research abilities to gather and analyze relevant financial and medical data

  • Effective communication skills for explaining complex economic concepts clearly and concisely to clients, lawyers, and juries

  • Meticulous attention to detail and precision for examining financial records and other pertinent documents


How Do Economic Experts Stay Up to Date?

Economic experts employ various methods to remain up to date with current information and actively participate in development activities such as attending conferences, workshops, and seminars focused on economic damages.


These experts also keep track of legal precedents and changes in legislation pertaining to personal injury cases by staying informed through scholarly publications, journals, and research articles in the field of economics.


Memberships in respected professional organizations, such as the National Association of Forensic Economists (NAFE) or the Agricultural & Applied Economics Association (AAEA), are beneficial for keeping up with the latest developments in the fields of forensic and applied economics. These organizations additionally offer opportunities for professional networking and information sharing, while requiring adherence to professional ethics standards.


What Challenges do Economic Experts Encounter?

Disagreements can occur when clients are unfamiliar with the specific methods that experts use to form their opinions. Clients always have the opportunity to inquire and seek explanations and clarifications regarding the purpose of particular methods employed by the expert.


It is part of the role of an economic expert to establish the validity of these methods in the economic literature and to explain why they are suitable strategies.


Maintaining a proactive approach in addressing client concerns helps dispel any misunderstandings and enhances the expert’s credibility and expertise.


Conclusion

Highly qualified economic experts play a crucial role in analyzing and quantifying the financial impact of personal injuries. Our LCPMD economists prepare credible and defensible present value assessments for individuals who have experienced loss of earnings and those who may require future medical care and/or household services. If you are a personal injury attorney in need of an expert economist or other economic damages expert, contact LCPMD today. We look forward to discussing which of our services may be a strong fit for your client’s unique case.



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