Princeton University professor and New York Times columnist Paul Krugman won the Nobel Prize in economics for his work on trade theory.
Krugman, 55, received the prize “for his analysis of trade patterns and location of economic activity,”said the Royal Swedish Academy of Sciences, which selects the winners.
“It’s a total surprise,” Krugman said in a telephone interview.
Krugman gained his reputation in economics by contributing to strategic trade theory, contending that countries could steal a march on other nations by subsidizing strategic industries. He has found broader fame with his newspaper columns which regularly criticize President George W. Bush’s policies.
He has argued the benefits of subsidies are generally marginal. He has also been praised for his work on the development of industrial clusters and his equations on the impact of economic shocks on the current account, exchange rates and capital flows.
In 1991, he was awarded the John Bates Clark Medal by the American Economic Association, which is awarded to the best economist under the age of 40.
Wow, that’s awesome. Source: Princeton’s Paul Krugman Wins Nobel Economics Prize Benedikt Kammel Bloomberg, Oct. 13 2008 http://www.bloomberg.com/apps/news?pid=20601087&sid=axpy67IVqPj8&
Originally published at The Big Picture and reproduced here with the author’s permission.