Poor performance in examinations among the university freshmen has long been a major source of concern to stakeholders in the education industry. In spite of the numerous efforts made by the researchers, educators and policy makers in tackling this problem, the performance of students does not seem to have improved. Therefore, the study investigated the effect of hierarchical model on performance in Economics among First students in Tertiary Institutions. Sixty First students in the Department of Economics were used for the study. The research adopted a pro-test - post-test and control group quasi experimental design with a 2x2 factorial matrix. Two schools were randomly selected from two tertiary institutions in Lagos State. 30 participants each were randomly selected for the treatment and control group from the two selected schools. The major instruments used for the study were Learning Readiness Scale (r =.88); for screening of participants who had low performance in Economics in their first semester examination, Self-Concept Scale (r =.85) and Economics Achievement Test. The data were analysed with the aid of Analysis of Covariance (ANCOVA) tested at the 0.05 level of significance. The finding indicates that the participants exposed to hierarchical model showed a significant improvement in their performance in Economics than those in control group (F (1, 53) = 6.008, p< 0.05, ?2= 0.068). Also, it was evidence that preventing poor performance in Economics can be explained by students’ ability to integrate acquired skills against constant failure in the subject every year. It is recommended that hierarchical model should be used by the Counselling Psychologists to intensify their effort to make use of the intervention in their strategies for counselling.