Nobel Prize in Economics 2024 honors 3 American scientists

The Royal Swedish Academy of Sciences has decided to award the 2024 Nobel Prize in Economics to three scientists: Daron Acemoglu and Simon Johnson, both from the Massachusetts Institute of Technology (MIT, USA), and James A. Robinson from the University of Chicago (USA), according to an announcement posted on The Nobel Prize website yesterday afternoon (October 14, Vietnam time). They will be awarded a medal, a certificate, and 11 million Swedish kronor (26.3 billion VND).

2024 Nobel Prize in Economics named 3 American economists

Winning the Nobel Prize with a new approach

The chairman of the Nobel Prize in Economics, Jakob Svensson, said the wide income gap between countries was one of the biggest global challenges of our time. The world's richest 20% of countries are now about 30 times richer than the poorest 20%. Although the least developed countries have become more prosperous, it is still difficult for them to catch up with the most prosperous countries.

Three scientists won the 2024 Nobel Prize in Economics on screen at the announcement ceremony

According to Mr. Svensson, although this issue is not new, the three scientists above have made a pioneering breakthrough in both experimental and theoretical approaches, helping to clarify the root causes of the above-mentioned divisions among countries.

By studying the different political and economic systems that emerged during the European colonial period, three American scientists were able to demonstrate the relationship between institutions and prosperity. The three Nobel Prize winners in Economics explain that in many countries where institutions prevailed during the colonial period, people generally became more prosperous afterward. This is an important reason why formerly wealthy colonies are now poor, and vice versa.

President Svensson added that many countries later faced extractive institutions and low economic growth. “Putting in inclusive institutions creates long-term benefits for everyone, but extractive institutions create short-term benefits for those in power,” Mr. Svensson explained.

Meaning and Concerns

Empirically, the work of the three American scientists has significantly advanced the study of the causal effects of institutions on prosperity, Mr. Svensson said. The three scientists have identified the historical roots of weak institutional environments that are evident in many low-income countries today. Theoretically, their research explains why extractive economic institutions and dictatorships often persist despite the benefits of reform.

Mr. Daron Acemoglu expressed joy at the news of his Nobel Prize win. But he also expressed concern that institutions everywhere, including in the United States and Europe, are weakening and support for democracy is declining. "Despite the potential of democracy to promote rapid growth and achieve consensus on many difficult issues, countries are not yet tapping that potential to the fullest," Mr. Acemoglu said.

Closing the 2024 Nobel Prize season

The 2024 Nobel Prize in Economics has concluded the 2024 Nobel Prize season. To date, the Nobel Prize in Economics has been awarded 56 times. The youngest winner was 46 years old and the oldest was 90. Last year, the prize went to American economist Claudia Goldin for her important contributions to better understanding the labor situation of women. This is a remarkable achievement as she became one of only 3 women to have received the Nobel Prize in Economics since the award was established in 1969.

Source: https://thanhnien.vn/nobel-kinh-te-2024-vinh-danh-3-nha-khoa-hoc-my-185241014213617849.htm