The Royal Swedish Academy of Sciences has announced the winners of the 2025 Nobel Prize in Economics. The award was given to three researchers: Joel Mokyr of Northwestern University (USA), Philippe Aghion (Collège de France, INSEAD, and the London School of Economics), and Peter Howitt of Brown University (USA), DW reports.

Half of the prize was awarded to Joel Mokyr, and the other half was shared by Philippe Aghion and Peter Howitt. The scientists were honored for "explaining innovation-driven economic growth."

Economic historian Joel Mokyr has demonstrated in his work that sustainable economic growth requires not only knowledge of what works but also an understanding of why it works. He also emphasized the importance of societal openness to new ideas for technological progress.

Philippe Aghion and Peter Howitt developed the "creative destruction" model (1992), which posits that innovation simultaneously creates the new and displaces the obsolete. Their research showed that large companies may hinder innovation to maintain their market position.

Prize Committee Chairman John Hassler noted that the laureates' work demonstrates the need to support innovative development mechanisms to prevent economic stagnation.

In 2024, the Nobel Prize in Economics was awarded to Daron Acemoglu, Simon Johnson, and James Robinson for their research on the influence of public institutions on the well-being of countries.