MIT Economics professors Daron Acemoglu and Simon Johnson, along with University of Chicago political scientist James Robinson, have been awarded the 2024 Sveriges Riksbank Prize in Economic Sciences for their groundbreaking research on the relationship between political systems and economic growth. Their long-term collaboration has shown that inclusive governments, which prioritize individual rights and the rule of law, foster greater economic activity and sustained technological innovation. This recognition of their work highlights the importance of promoting inclusive political institutions for long-term economic growth.
Acemoglu, Johnson, and Robinson Awarded Nobel Prize in Economics for Groundbreaking Research
Background
The Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel, commonly known as the Nobel Memorial Prize in Economic Sciences, is one of the most prestigious awards in the field of economics. It is awarded annually to individuals who have made groundbreaking contributions to the field.
2024 Laureates
In 2024, the Nobel Memorial Prize in Economic Sciences was awarded to three economists: Daron Acemoglu, Simon Johnson, and James Robinson. Their research focuses on the relationship between political systems and economic growth.
Acemoglu and Johnson are both professors at Massachusetts Institute of Technology (MIT), while Robinson is a professor at the University of Chicago. They have collaborated on several research projects over the past two decades, examining the impact of political institutions on economic outcomes.
Groundbreaking Research
Their groundbreaking research has shown that inclusive political systems, which prioritize individual rights and the rule of law, foster greater economic activity and sustained technological innovation. This research challenges the conventional wisdom that economic growth is primarily driven by technological advancements and accumulation of capital.
Acemoglu, Johnson, and Robinson argue that political institutions play a crucial role in shaping the incentives for innovation, investment, and economic growth. They have demonstrated that countries with more inclusive political systems tend to have higher levels of economic growth and technological progress.
Top 5 FAQs
1. What are the key findings of Acemoglu, Johnson, and Robinson's research?
Their research has found that inclusive political systems, which prioritize individual rights and the rule of law, foster greater economic activity and sustained technological innovation.
2. What is the significance of their research?
Their research highlights the importance of promoting inclusive political institutions for long-term economic growth and technological progress.
3. What are the implications of their research for policymakers?
The research suggests that policymakers should focus on strengthening political institutions and promoting individual rights and the rule of law to promote economic growth.
4. How does their research compare to previous work in the field of economics?
Their research challenges the conventional wisdom that economic growth is primarily driven by technological advancements and capital accumulation. They argue that political institutions play a crucial role in shaping economic outcomes.
5. What are the future directions of research in this field?
Future research may focus on examining the impact of political institutions on other economic outcomes, such as inequality, poverty, and environmental sustainability.
In an effort to reduce reliance on China for key minerals used in advanced technologies, India is exploring partnership with a rebel group in Myanmar to secure rare earth samples. The Ministry of Mines has directed state-owned and private companies to collect samples from Kachin Independence Army-controlled mines and test them in domestic labs. This move comes in light of China's recent export restrictions on rare earth magnets, causing disruptions in global supply chains.
Oracle chairman Larry Ellison, who hails from the Bronx, has surpassed Tesla CEO Elon Musk as the richest person in the world with a net worth of $405 billion. This jump in wealth was reported by Barron's on Wednesday, putting Ellison ahead of Musk's net worth of $390 billion. This milestone marks a shift in the top spot amongst the world's wealthiest individuals.
The US Producer Price Index fell 0.1% in August, bucking expectations of a rise and indicating a potential slowdown in overall economic growth. The decline was driven by a slump in the cost of services, particularly within wholesalers and retailers. The news has led to a drop in Treasury yields and solidifies expectations of an interest rate cut by the Federal Reserve next week.
The Hilton Kathmandu, once a symbol of Nepal's ambition and modern design, recently fell victim to violent anti-government protests. The hotel, built by the Shanker Group with a significant investment and featuring luxurious amenities and seismic safeguards, opened in 2024 but tragically, went up in flames a year later. The Hilton was not just a hotel, but a cultural statement, embodying Nepalese heritage and offering breathtaking views of the Langtang range.
In a shocking incident, a brand-new Mahindra Thar crashed through a glass wall and landed on the road below in Delhi's Preet Vihar. The SUV had just been purchased by a couple who were inside the vehicle at the time with a showroom salesman. Fortunately, no one was seriously injured in the accident. The incident, captured on video, has gone viral on social media. Police are investigating the cause of the incident.
Delhi-based manufacturer Vikas Ecotech has acquired an existing Plasticizer Manufacturing Business, valued at Rs 270 million, in an all-cash deal. With this acquisition, the company aims to enhance its product offering and become debt-free by 2023-24. This move comes after the firm recently paid off Rs 101 crore of its debt to lenders.
The Indian Express has obtained information that the Registrar General of India has requested a budget of Rs 14,618.95 crore for the upcoming Census 2027. This will be the first "digital census" and will include the collection of caste data through dedicated mobile applications. The option for self-enumeration will also be provided to the public. Additionally, Indian refiners have saved approximately $12.6 billion in the past three years through their Russian oil imports, which has caused tensions with the Trump administration.
The Trump administration's latest move has caused major disruptions in the Indian export industry with the imposition of 50% tariffs on Indian goods. Sectors such as apparel, textiles, gems, and jewelry will bear the brunt of the higher tariffs, putting low-skilled jobs in India at risk. India's response has been to extend tariff exemptions on cotton imports, but many are criticizing the government for not taking strong action against the US. Political figures like Saurabh Bhardwaj and Akhilesh Yadav have slammed the BJP-led government for its failed foreign and economic policies which are negatively impacting traders, manufacturers, and workers.
The highly anticipated 2025 model of the popular Suzuki Access 125 has finally been unveiled at the Auto Expo. While it comes in three variants and boasts 5 different colour options, there are complaints about the fluctuating mileage and poor design choices such as fixed mirrors. With tough competition in the two-wheeler market, Suzuki may need to offer attractive deals to customers to stay ahead.
At the Plumbex India exhibition, Minister Hardeep S Puri launched the BHARAT TAP initiative, which aims to improve products and services related to plumbing, water, and sanitation. In his speech, Puri emphasized the importance of sanitation in India's development and praised the success of the Swachh Bharat Mission and AMRUT in achieving 100% toilet coverage in rural areas and significant progress in urban areas. He also announced the launch of AMRUT 2.0, with an outlay of Rs. 2,77,000 crores, to further strengthen water and sanitation services in cities.