Nobel Prize in Economics 2021 awarded to David Card, Joshua Angrist and Guido Imbens
David Card, Joshua D Angrist, Guido W Imbens won the 2021 Nobel Prize in Economic Science. The Nobel Committee awarded one half of the prize to David Card for his empirical contributions to labour economics and the other half jointly to Joshua D. Angrist and Guido W. Imbens for their methodological contributions to the analysis of causal relationships.
"This year’s Laureates David Card, Joshua Angrist and Guido Imbens have provided us with new insights about the labour market and shown what conclusions about cause and effect can be drawn from natural experiments. Their approach has spread to other fields and revolutionised empirical research," the Swedish Academy said in a statement.
The academy added that Many of the big questions in the social sciences deal with cause and effect. How do immigration affect pay and employment levels? How does a longer education affect someone’s future income? "This year’s Laureates have shown that it is possible to answer these and similar questions using natural experiments," the statement said.
The Nobel Prize in Economic Sciences is awarded by the Royal Swedish Academy of Sciences, Stockholm. The Prize is based on a donation received by the Nobel Foundation in 1968 from Sveriges Riksbank on the occasion of the Bank’s 300th anniversary.
The Economic prize for 2020 was given to Paul R. Milgrom and Robert B. Wilson jointly for improvements to auction theory and inventions of new auction formats. Using auction theory, researchers try to understand the outcomes of different rules for bidding and final prices, the auction format. "The laureates started out with fundamental theory and later used their results in practical applications, which have spread globally. Their discoveries are of great benefit to society,” chair of the Prize Committee had said.