The 2024 Nobel Economic Sciences Award has been bestowed upon scholars Daron Acemoglu, Simon Johnson, and James Robinson for their investigations into the disparity of wealth among nations. Acemoglu and Johnson hold academic chairs at the Massachusetts Institute of Technology (MIT), while Robinson is a faculty member at the University of Chicago.
Their groundbreaking research, examining the effect of legal systems and institutions on national wealth, received high praises. Jakob Svensson, a member of the Nobel committee, stated, “Their innovative empirical and theoretical methodologies have substantially enhanced our comprehension of worldwide inequality.”
Svensson pointed out the importance of addressing the vast income gaps among nations, labelling it as one of the major challenges of our era. The committee member credited the scholars’ work for enhancing our understanding of why nations differ in wealth by illuminating how impoverished legal systems and exploitative institutions can impede economic expansion.
Despite the absence of specific policy recommendations or straightforward strategies within their research, their academic contributions have had a significant societal impact, as noted by Svensson. The committee shed light on their findings, stating that democracies encourage growth in the long run.
The Nobel committee underlined that, while the laureates are affiliated with US institutions, all three scholars are from overseas. Acemoglu hails from Turkey, and both Johnson and Robinson were born in Britain.
Post-announcement, Acemoglu, speaking from Greece, elucidated that their work revolved around the ‘natural experiment’ resulting from colonialism. This led to diverging institutional trajectories around the world, with colonisers’ resources shaping distinct paths for various nations, he explained.
In broad terms, Acemoglu summarised, their research tends to support democratic principles.
The rise of China in high-tech industries has posed a slight challenge to their claims, according to him. However, he also stated that this kind of authoritarian growth tends to be more precarious in their perspective. Professor Acemoglu, born in Istanbul, pursued his education in the United Kingdom. After completing his initial studies in York, he acquired his master’s and doctorate degrees from the London School of Economics.
As a Turkish-American economist, Professor Acemoglu commenced his scholarly journey at the London School of Economics and later transitioned to the Massachusetts Institute of Technology. He became the recipient of the prestigious John Bates Clark Medal in 2005, conferred annually by the American Economic Association to a promising American economist under the age of 40. He collaborated with Professor Robinson on the widely acclaimed book ‘Why Nations Fail’.
Like Acemoglu, Professor Johnson was also associated with MIT. Born in Sheffield, he spent most of his professional career in America. Prior to his tenure at MIT, he was employed at the Peterson Institute think-tank based in Washington and served as the Chief Economist of the International Monetary Fund for a year from 2007 to 2008. His educational qualifications include an undergraduate degree from Oxford University, a master’s from the University of Manchester, and a doctorate degree from MIT.
Professor Robinson, possessing both British and American nationalities, completed his education at London School of Economics, Warwick and Yale University, where he earned his doctorate. He moved to the University of Chicago in 2015 after a term at Harvard University.