STOCKHOLM (AP) — The 2023 Nobel Memorial Prize in Economic Sciences has been awarded to Joel Mokyr, Philippe Aghion, and Peter Howitt for their pioneering contributions to understanding innovation-driven economic growth. The trio’s work has shed light on the mechanisms of ‘creative destruction,’ a concept central to economic progress, where new innovations displace older technologies and businesses. Mokyr, from Northwestern University, Aghion, affiliated with the College de France and the London School of Economics, and Howitt, from Brown University, were recognized for their efforts to quantify and explain this phenomenon. The Nobel Committee highlighted their research as essential for sustaining long-term economic growth and avoiding stagnation. Aghion, expressing his astonishment at the honor, emphasized his commitment to reinvesting the prize money into his research laboratory. He also voiced concerns about protectionist policies, particularly in the U.S., warning that such measures could hinder global growth and innovation. The laureates’ work builds on the foundational ideas of economist Joseph Schumpeter, who first articulated the concept of creative destruction in his 1942 book, ‘Capitalism, Socialism and Democracy.’ Aghion and Howitt’s 1992 mathematical model further advanced the understanding of this process. The prize, valued at 11 million Swedish kronor (approximately $1.2 million), was split equally between Mokyr and the duo of Aghion and Howitt. The award, formally known as the Bank of Sweden Prize in Economic Sciences in Memory of Alfred Nobel, was established in 1968 and has since been awarded to 96 laureates, only three of whom have been women. While technically not one of the original Nobel Prizes, it is presented alongside them on December 10, the anniversary of Alfred Nobel’s death. Last year’s economics prize honored researchers who explored the disparities between rich and poor nations, emphasizing the role of open societies in fostering prosperity. This year’s announcement follows last week’s Nobel honors in medicine, physics, chemistry, literature, and peace.
Nobel economics prize goes to 3 researchers for explaining innovation-driven economic growth
