"Pretty much everything we do is defined by economics — whether you realise it or not, it affects every decision you make.
"I like being able to see it in everyday life and I’m interested in why people do what they do."
It is one of the main reasons the third-year University of Otago economics and finance student has become the first Otago student to win the prestigious Sir Frank Holmes Prize in nearly a decade.
The $5000 annual award, named after one of New Zealand's most distinguished economists, is given to the nation’s top undergraduate economics student by the Motu Research and Education Foundation.
It has been described as the most significant prize, nationwide, for undergraduate students within the field of economic analysis.
Surprisingly, Miss Farrar said economics was not her first choice of subject when she came to Otago.
Initially, she came here to study physics.
"I’ve always had a deep curiosity for how the world works and an affinity for numbers.
"That’s what drove me to initially study physics — there’s true beauty in understanding the intricacies of everyday phenomena happening all around you."
But it did not take much for her to switch degrees to study economics.
"Economics is much the same. It’s a critical lens, a way of thinking, through which anything can be analysed.
"I often have epiphanies that some arbitrary experience is a perfect demonstration of an economic concept.
"I just love the pure elegance of using mathematics and theories to explain real life."
Miss Farrar was delighted with the prize and planned to use the money to study for a master of business degree in economics.
"It’s very cool. It’s definitive recognition and makes it feel like all my hard work has paid off."
Before that, she planned to go on an Otago Global Student Exchange to Copenhagen Business School, in Denmark, for the first semester next year.
She was looking forward to living in what is known as one of the happiest countries in the world, because of its good economy and good standard of living.
It would be great if she could bring some of the country’s "amazing economics initiatives" back to New Zealand, but it would be difficult.
"I guess it’s hard to apply it here because we’re such a different, small country. All those large-scale things might not be feasible."
Further down the track, she was looking at a career as an economist at the Reserve Bank, Treasury, one of the big New Zealand banks or a consultancy firm.
But first she wants to do a PhD at an overseas university like Harvard or Oxford.
"I just need to get someone to support me — fund me — that would be amazing."
Most definitely, her expertise in economics will help in that pursuit.
