Oct 14, 2008

Paul Krugman won the Nobel Prize of Economics

Paul Krugman won the Nobel Prize of Economics. The prize was awarded for work done almost three decades ago in developing what is known as “new trade theory” and “new economic geography”.

Among professional economists, Mr Krugman is admired for his work on currency crises as well as the work on trade that won the prize. Avinash Dixit, a Princeton colleague, once described Krugman’s methods: “He spots an important economic issue months or years before anyone else. Then he constructs a model of it, which offers new and unexpected insight. Soon the issue reaches general attention, and Krugman’s model is waiting for other economists to catch up.”

He is the 62nd winner of the economics prize since its inception in 1969, and a rare solo winner: the prize has been shared in seven of the past 10 years. Paul Krugman was the lone of winner of the 10 million kronor (US$1.4 million)

Mr Krugman, a professor at Princeton University and a prominent columnist for the New York Times, has long been seen as a future Nobel laureate. More