Scottish economist Angus Deaton has won the Nobel memorial prize in economic sciences for “his analysis of consumption, poverty, and welfare,” the Royal Swedish Academy of Sciences announced …reports Asian Lite news
According to the Princeton University, Deaton, who was born in Edinburgh in 1945, now works at Princeton University in the United States. He holds both US and British citizenship.
The academy said the work for which Deaton is now being honoured revolves around three central questions: How do consumers distribute their spending among different goods; how much of society’s income is spent and how much is saved; and how do we best measure and analyse welfare and poverty?
In a press conference following the announcement, Deaton described himself as “someone who’s concerned with the poor of the world and how people behave, and what gives them a good life.”
Deaton, the Dwight D. Eisenhower Professor of International Affairs and a professor of economics and international affairs in Princeton’s Woodrow Wilson School of Public and International Affairs, has been a faculty member at Princeton since 1983.
Deaton was honored with the Nobel Memorial Prize in Economic Sciences for his work in “consumption, poverty and welfare,” the Royal Swedish Academy of Sciences noted in announcing the award today.
“The consumption of goods and services is a fundamental part of people’s welfare. The Laureate, Angus Deaton, has deepened our understanding of different aspects of consumption,” the Nobel committee said. “His research concerns issues of immense importance for human welfare, not least in poor countries. Deaton’s research has greatly influenced both practical policymaking and the scientific community. By emphasizing the links between individual consumption decisions and outcomes for the whole economy, his work has helped transform modern microeconomics, macroeconomics and development economics.”
Deaton said he received word of the award in a 6:10 a.m. phone call from the Nobel committee.
“If you’re my age and you’ve been working for a long time you know this is a possibility,” Deaton said. “But you also know there are a huge number of people out there who deserve this. That lightning would strike me seemed like a very small probability event. It was sort of like, ‘Oh my goodness, it’s really happening.'”
“I am so thrilled for Angus Deaton,” said Cecilia Rouse, dean of the Woodrow Wilson School of Public and International Affairs. “This prize represents a lifetime of important contributions to the understanding of consumption, poverty and inequality. His work is sophisticated and careful, but also passionate. Beyond that, Angus is a tremendous teacher, mentor and colleague. Congratulations.”
Deaton joins several other tenured Princeton faculty members who have received a Nobel Prize in economics in the last two decades, including Christopher Sims in 2011, Paul Krugman in 2008, and Daniel Kahneman in 2002.