Innovators Celebrate Nobel Economics Win for Transformative Growth Theories

Joel Mokyr, Philippe Aghion, and Peter Howitt have been honored with the Nobel Economics Prize for 2025. Their groundbreaking work on innovation and "creative destruction" as catalysts for economic growth has been recognized by the Royal Swedish Academy of Sciences. The trio's research demonstrates that technology's role in spawning new products and methods is essential for advancing living standards globally.

The award, which is formally referred to as the Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel, concludes this year's series of Nobel recognitions with an 11 million Swedish crowns ($1.2 million) prize. The Academy emphasizes that while the past two centuries have witnessed unprecedented economic progress, such growth is not guaranteed. The laureates' work calls attention to the importance of innovation and highlights potential threats to continued growth.

In accepting their accolades, the laureates echo the sentiment that economic stagnation has historically been more common than growth. Aghion, speaking at a press conference, emphasized the need for Europe to learn from the U.S. and China in balancing competition and industrial policy. This year's prize follows a tradition of recognizing outstanding contributions to economics, with past winners including notable figures like Paul Krugman and Milton Friedman.

(With inputs from agencies.)