Stockholm: Daron Eysmoglu, Simon Johnson and James A. Robinson are awarded the Nobel Prize in Economics. The study of why some countries succeed economically and others fail is what merited the Nobel. All three mentioned the importance of social institutions in the prosperity of a country.
Social institutions in countries with weak laws exploit the people and thereby hinder the growth of the country or eliminate positive changes. Announcing the award, the panel clarified that the reasons for it were clear through the study of the three.
Eysmoglu and Johnson are conducting research at the Massachusetts Institute of Technology and Robinson at the University of Chicago.
One of the biggest challenges today is the huge disparity in income between countries. Research has revealed the deep reasons behind this.
