Mokyr, Aghion, Howitt Win 2025 Nobel Economics Prize

The 2025 Nobel Memorial Prize in Economic Sciences has been awarded to Joel Mokyr, Philippe Aghion and Peter Howitt for their foundational research explaining how innovation drives economic growth. The Royal Swedish Academy of Sciences announced the honor Monday, recognizing their complementary work on the mechanisms behind sustained economic development.

According to the Academy, the economists were honored "for having explained innovation-driven economic growth." The prize was divided, with one half awarded solely to Joel Mokyr "for having identified the prerequisites for sustained growth through technological progress," while the other half was jointly awarded to Philippe Aghion and Peter Howitt "for the theory of sustained growth through creative destruction."

Joel Mokyr, who serves as professor of economics and history at Northwestern University, has extensively researched European economic history with particular focus on the Industrial Revolution period from 1750-1914. His work has illuminated the historical conditions that enable technological breakthroughs and sustained economic advancement. Philippe Aghion, a professor at the College de France and the London School of Economics, has dedicated his career to growth economics. Peter Howitt, professor of economics at Brown University, has conducted significant research in macroeconomics and monetary economics throughout his career.

The theories developed by these three economists have profoundly shaped modern understanding of how economies develop and maintain growth over time. Their work provides crucial insights for policymakers worldwide, including in developing economies like Türkiye, seeking to foster innovation-led growth strategies. The creative destruction concept particularly explains how new technologies replace old ones, driving economic progress even as they disrupt existing industries.