The Nobel Prize in Economic Sciences for 2024 was awarded to Daron Acemoglu, Simon Johnson, and James Robinson for their work on how institutions affect a country’s prosperity. Their theories regarding ‘inclusive’ vs. ‘extractive’ institutions have ignited controversy over the role of colonization and its lingering effects on former colonies. Dr. Surbhi Kesar joins the discussion to unpack these complexities.
This year’s Nobel Prize in Economic Sciences was awarded to Daron Acemoglu, Simon Johnson, and James Robinson for their pivotal research on the importance of robust institutions in fostering a country’s prosperity. Their findings elucidate how ‘inclusive institutions’ can facilitate growth and yield long-lasting gains for all citizens, contrasting this with ‘extractive institutions’ that benefit only a select few in the short term. The Royal Swedish Academy of Sciences, in its announcement, highlighted the transformative effects of European colonization on various societies, sometimes pursuing exploitative practices while at other times creating inclusive systems that benefited European migrants in the long run. AJR’s hypothesis posits that institutional frameworks significantly contribute to wealth, revealing why many former colonies struggle economically today. However, their work has sparked considerable debate, facing backlash from critics who argue it neglects the enduring consequences of colonization on these nations and overlooks how the residues of colonial history continue to shape their economies. The podcast features Dr. Surbhi Kesar, a senior economics lecturer at the School of Oriental and African Studies, providing clarity on the controversy surrounding the prize and its recipients. In the vibrant discourse surrounding the award, listeners can absorb insights from expert perspectives while navigating the intricate ties between institutions, colonization, and current economic realities.
The 2024 Nobel Prize in Economic Sciences centers on the framework of institutions and their role in economic prosperity, weaving a narrative around the historical context of colonialism. As scholars unravel the intricate tapestry that links governance to wealth, they grapple with the past’s shadows influencing present-day challenges faced by numerous nations. This year’s award not only honors the three scholars but also ignites discussions about the lasting scars of colonization and their implications in the modern economic landscape.
In summary, the 2024 Nobel Prize in Economic Sciences has sparked intense discussions on the fundamental role of institutions in shaping wealth, while also bringing to light critiques regarding the historical context of colonization. Acemoglu, Johnson, and Robinson’s research underscores the complexity of economic development, prompting a deeper exploration of how past injustices continue to reverberate within contemporary economies. As scholars and listeners alike engage with these contentious topics, the need for a nuanced understanding becomes ever more critical.
Original Source: www.thehindu.com
