Economics Nobel Prize Awarded for Research on Global Inequality
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Three professors from the U.S. have won the Nobel Prize in Economics. Their names are Daron Acemoglu, Simon Johnson, and James Robinson. They studied how countries become rich or poor.
The professors looked at the past to see why some countries are wealthy. They say it depends on the rules and governments in these countries. Countries with fair rules and freedom do better. But countries where only a few people have power and money stay poor.
Their work shows that history and the way countries were controlled during colonization are important. They also wrote books about their ideas.
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Daron Acemoglu, Simon Johnson, and James Robinson have been awarded the Nobel Prize in Economics. The professors, from MIT and the University of Chicago, were recognized for their work on how institutions and historical events shape the wealth of nations.
The researchers argue that countries with inclusive institutions, where more people have rights and opportunities, tend to be richer today. In contrast, countries with extractive institutions, where only the elite control resources, remain poorer.
Their study also looked at the effects of colonization, showing that the way colonies were ruled affected their future prosperity. They have published several books, including “Why Nations Fail.”
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Daron Acemoglu, Simon Johnson, and James Robinson were awarded the Nobel Memorial Prize in Economic Sciences for their research on how institutions influence national prosperity. The laureates explored how colonial-era governance shaped economic outcomes in the long term.
Their work shows that countries with inclusive institutions, which promote widespread participation and protect property rights, tend to develop more sustainably. In contrast, extractive institutions, which favor elites and limit economic participation, often lead to persistent poverty.
The researchers argue that colonial strategies created a divergence in national wealth, which can still be observed today. Their findings challenge simplistic views of colonialism and highlight the importance of democratic governance in achieving long-term prosperity.
