3 share Nobel Prize in Economics for work on technology, growth and creative destruction

"The Nobel Prize in economics was awarded to a trio of researchers Monday for their work on how cycles of technological innovation feed economic growth. Joel Mokyr of Northwestern University, Peter Howitt of Brown University and Philippe Aghion of the College of France and the London School of Economics will split the prize money of 11 million Swedish kroner, or about $1.2 million."

"Mokyr pioneered a theory of how technological change and improvement has helped to fuel two centuries of growth and higher living standards. Howitt and Aghion followed up with a theory on how creative destruction allows one technological advance to give way to another, so what's a breakthrough in one generation is obsolete by the next. The economists note the importance of managing the change caused by innovation by creating safety nets for the people whose work is becoming obsolete, so that conflict doesn't stifle growth."

Three economists—Joel Mokyr, Peter Howitt and Philippe Aghion—received the Nobel Prize for research explaining how cycles of technological innovation fuel economic growth. Mokyr traced how technological change and improvement powered two centuries of rising living standards. Howitt and Aghion developed models of creative destruction showing how each generation's breakthroughs can be displaced by later advances. The research emphasizes managing transitional costs through safety nets to prevent social conflict from stalling growth. The laureates highlighted that openness and trade sustain innovation, warned that protectionism could impede progress, and stressed aligning growth with environmental preservation and competitive governance of artificial intelligence.

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