Who won the Nobel prize for economic science for 2018?

Question

Accepted Answer

The correct option is 1:

The Nobel Memorial Prize in Economic Sciences for 2018 was awarded to William Nordhaus "for integrating climate change into long-run macroeconomic analysis" and to Paul Romer "for integrating technological innovations into long-run macroeconomic analysis." Both economists significantly advanced our understanding of how market economies interact with nature and knowledge, addressing some of the most critical long-term challenges facing global welfare. Nordhaus’s work provided a comprehensive model (the DICE model) for assessing the economic and environmental consequences of climate change, while Romer's contributions led to the development of Endogenous Growth Theory, which emphasizes that economic growth is driven by knowledge and innovation. Their research laid the groundwork for policy responses aimed at achieving sustained and sustainable global growth.

The incorrect option is 2:
Peter A. Diamond and Dale T. Mortensen shared the prize in 2010 (along with Christopher A. Pissarides) for their analysis of markets with search frictions, which primarily focuses on unemployment and job search. Their work is significant for labor market dynamics but is not related to the 2018 award.

The incorrect option is 3:
Angus Deaton won the Nobel Memorial Prize in Economic Sciences in 2015 for his analysis of consumption, poverty, and welfare. His contributions are in the field of microeconomics and development, focusing on how individuals allocate spending and how to measure living standards, making this option incorrect for the 2018 award.

The incorrect option is 4:
Oliver Hart and Bengt Holmström jointly won the prize in 2016 for their contributions to contract theory. Their work examines how contracts can be structured to handle potential conflicts of interest and uncertainty, particularly in corporate finance and public sector activities, and therefore does not relate to the 2018 recipients.