Trio Shares Economics Nobel for Work on Innovation-Driven Growth
STOCKHOLM, Sweden - The Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel 2025 was awarded to a trio of economists on Monday for their groundbreaking work on the impact of technology on sustained economic growth. American-Israeli Joel Mokyr, Frances Philippe Aghion, and Canada's Peter Howitt shared the prize for explaining how innovation has driven economic expansion over the past two centuries.
According to the Royal Swedish Academy of Sciences, the award was based on the trio's research showing that technological advancements have been the underlying cause of sustained economic growth. "Their work has helped us understand why technology is essential for lasting economic growth," said Per Strömberg, chair of the Nobel Committee in Economics. "It's a fundamental shift in our understanding of how economies grow and develop."
Mokyr, a professor at Northwestern University, was awarded half of the prize for his research on the Industrial Revolution. Using historical records, Mokyr identified key factors that contributed to the revolution's success, including the development of new technologies and institutions. "Joel's work has been instrumental in understanding why some economies grow while others stagnate," said Aghion, a professor at Harvard University.
The trio's research has significant implications for policymakers and business leaders. As technology continues to advance at an unprecedented rate, their work highlights the importance of investing in innovation and R&D to drive economic growth. "Their findings have important policy implications," said Howitt, a professor at Brown University. "Governments and businesses need to prioritize investment in research and development to stay ahead of the curve."
The Nobel Prize in economics has been awarded annually since 1968 to recognize outstanding contributions to the field. The Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel is considered one of the most prestigious awards in economics.
In related news, the trio's research has already had a significant impact on economic policy and business strategy. Companies such as Google and Amazon have invested heavily in innovation and R&D to stay ahead of the competition. Governments around the world are also taking note, with many implementing policies to encourage investment in technology and innovation.
The award ceremony will take place on December 10th in Stockholm, Sweden. The winners will receive a gold medal and a cash prize of $1 million each.
Background
The Industrial Revolution marked a significant turning point in human history, transforming the way goods were produced and consumed. However, for most of human history, economic growth was stagnant. It wasn't until the 19th century that sustained economic growth became a reality, driven by technological advancements.
Additional Perspectives
Economist Joseph Stiglitz, a Nobel laureate himself, praised the trio's work, saying "Their research has shed light on the importance of innovation in driving economic growth. It's a crucial finding for policymakers and business leaders."
The trio's research also highlights the need for continued investment in education and training to ensure that workers have the skills needed to adapt to changing technological landscapes.
Current Status and Next Developments
The award ceremony will take place on December 10th, with the winners receiving their medals and cash prizes. The trio's research is expected to continue shaping economic policy and business strategy in the years to come.
*Reporting by Aljazeera.*
