Daron Acemoglu, Simon Johnson, and James Robinson win 2024 Nobel Prize in Economics
Daron Acemoglu, Simon Johnson, and James A. Robinson have been awarded the 2024 Nobel Prize in Economics for their influential research on how political institutions are formed and their effects on prosperity. Their work has provided a detailed model that explains the conditions under which institutions are created, transformed, and how they influence the distribution of power and resources in society.
The Nobel Committee outlined three key components of their model. The first addresses the conflict between elites and the masses over the control of resources and decision-making power. The second highlights how the masses can exert influence by mobilizing and threatening the ruling elite, showing that power in society extends beyond formal decision-making. The third component examines the "commitment problem," which sometimes forces elites to transfer decision-making power to the populace.
Their groundbreaking research has offered deep insights into the relationship between institutions, power, and economic development, advancing our understanding of how inclusive political and economic institutions contribute to prosperity.