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Mokyr, Aghion and Howitt Win 2025 Nobel in Economics for Innovation-Driven Growth

The decision underscores innovation as the engine of long‑run growth through creative destruction under supportive institutions.

Overview

  • The Royal Swedish Academy of Sciences named Joel Mokyr, Philippe Aghion and Peter Howitt as laureates on October 13 for explaining innovation‑driven economic growth.
  • The prize is split with one half to Mokyr and the other half jointly to Aghion and Howitt.
  • Mokyr was cited for identifying the cultural, institutional and scientific prerequisites for sustained technological progress, while Aghion and Howitt were honored for the formal theory of creative destruction.
  • Committee president John Hassler said growth cannot be taken for granted and urged support for mechanisms of creative destruction to prevent stagnation.
  • Reported details include affiliations at Northwestern University, INSEAD and the London School of Economics, and Brown University, and a prize amount of 11 million Swedish kronor (about $1.2 million), with commentary highlighting policy implications for managing conflicts and directing innovation, including environmental considerations in some analyses.