July 25, 2021

William D. Nordhaus and Paul M. Romer, Nobel Prize in Economics for his work on climate change

William D. Nordhaus and Paul M. Romer, Nobel Prize in Economics for his work on climate change

The Americans William D. Nordhaus and Paul M. Romer won today the Nobel Prize for Economicsr addressed methods to promote sustainable growthe and about the relationship between economy and climate, reported today the Royal Swedish Academy of Sciences.

Both "have designed methods that address some of the most fundamental and urgent issues of our time: long-term sustainable growth in the global economy and the well-being of the population."

Nordhaus, said the Academy, shows in its research how economic activity interacts with basic chemistry and physics to cause climate change.

He was "the first person who created a quantitative model that describes the interaction between economy and climate"added the Academy.

Nordhaus's work also shows that the most effective way to combat the consequences of the problems caused by climate change "is a global plan for carbon taxes in all countries."

As for Romer, his research shows that "the accumulation of ideas supports long-term economic growth, demonstrating how economic forces are behind the will of companies to generate new ideas and innovations"

The Academy stressed that Romer laid the foundations of what is known as "the theory of endogenous growth," which "has generated a lot of new research in regulations and policies that foster new ideas and long-term prosperity."

The Nobel of Economy, whose real name is Prize of Economic Sciences in memory of Alfred Nobel, is the unique one of the six awards not created in his day by the Swedish magnate, but that was instituted in 1968 from a donation to the Foundation Nobel of the National Bank of Sweden on the occasion of its 300th anniversary.

The prize has been awarded 49 times by the Royal Swedish Academy of Sciences to 79 people, but only one woman has won it, the American Elinor Ostrom, who shared it in 2009 with Oliver Williamson for his analyzes on economic policy of common properties .

The two winners will be distributed the 9 million Swedish crowns (970,000 euros) This year, each of the Nobel Prizes is awarded, which are handed out on December 10 in a double ceremony in Oslo, for Peace, and Stockholm, for the rest.

The Medicine award opened last Monday the round of announcements of the current edition of these prestigious awards, followed by those of Physics, Chemistry and Peace, last Friday. EFE


Source link