Nobel Prize in Economic Sciences. Key Events of 2024
Nobel Prize in Economic Sciences. Key Events of 2024
The Nobel Prize in Economic Sciences 2024 has been awarded to three distinguished economists: Daron Acemoglu and Simon Johnson from the Massachusetts Institute of Technology (MIT) and James Robinson from the University of Chicago. Their work has revolutionized the understanding of the role political and economic institutions play in the prosperity and inequality of nations.
The Origin of the Nobel Prize in Economic Sciences
Although the Nobel Prize in Economic Sciences was not part of the original awards established by Alfred Nobel, it was created in 1968 by the Swedish Central Bank (Sveriges Riksbank) to recognize advancements in economic science. Since then, the Royal Swedish Academy of Sciences has awarded 75 intellectuals who have significantly shaped our understanding of the global economy. In 2019, Esther Duflo became the youngest laureate and the second woman to receive this honor.
Institutions: The Key to Prosperity
The work of Acemoglu, Johnson, and Robinson delves into a central theme of economic development: how political and economic institutions influence the success or failure of nations. The researchers distinguish between two types of institutions:
1. Extractive Institutions
o Designed to benefit a small, powerful group.
o Limit economic opportunities and suppress innovation.
o Provide short-term gains for the elites, but perpetuate low growth and inequality.
2. Inclusive Institutions
o Promote broad participation in the economy and equal access to resources.
o Support long-term development through innovation, education, and the protection of property rights.
Global Implications of the Awarded Research
The impact of this research is not merely theoretical. The recommendations based on their findings have influenced public policies and international development strategies:
• International organizations like the World Bank and the International Monetary Fund have adopted approaches focused on strengthening local institutions.
• Developing and emerging countries can identify key reforms to transform their political and economic systems.
• Companies and civil societies better understand the relationship between governance, political stability, and economic growth.
The Nobel Prize in Economic Sciences 2024 emphasizes the importance of rethinking economic development from an institutional perspective. In a world where inequality gaps continue to widen, the work of Acemoglu, Johnson, and Robinson highlights that true change will only be possible when institutions ensure opportunities for all.
As this prize demonstrates, the future of global prosperity depends not only on economic factors but also on political decisions that create fairer and more inclusive systems.
