Yale economist Nordhaus is commonly seen as a pioneer in environmental economics. Since the first murmurings of climate change in the 1970s, he has warned governments of the dangers of global warming, pointing to their economic models as contributing factors. As a prolific researcher, he has produced multiple models designed to alleviate these effects, the best known of which - his Dynamic Integrated Climate-Economy (DICE) model - was adopted by the US Environmental Protection Agency, and has been used to measure the impact of climate policy interventions. In more recent years, he has become a public and very vocal advocate for a universally imposed carbon tax as the best means of tackling greenhouse gas emissions.
Romer’s research has promoted the so-called ‘endogenous growth theory’, which posits that countries can ensure economic growth through a focus on supply-side measures, i.e. investments in human capital, innovation, and knowledge. Further, he has argued that technological change can be induced by appropriate state intervention, specifically, in the form of R&D tax credits and patent regulation.
In accepting the award, both economists looked beyond the precariousness of the current moment and remained optimistic about the future. Acknowledging the Trump administration's climate change scepticism, Nordhaus did concede that the US faces ‘a difficult period’. Nonetheless, he was unerring in his confidence that the country is sufficiently equipped to see it through. Equally hopeful, Romer said he believed the prize’s announcement would reinforce the message that ‘people are capable of amazing things when they set about doing something’. With positivity so conspicuously absent from recent public discourse, it was refreshing to hear it from two experts whose fields offer so much opportunity for pessimism. In tackling both inequality and climate change, it is exactly the mentality we need to harness.
From: inomics.com
Romer’s research has promoted the so-called ‘endogenous growth theory’, which posits that countries can ensure economic growth through a focus on supply-side measures, i.e. investments in human capital, innovation, and knowledge. Further, he has argued that technological change can be induced by appropriate state intervention, specifically, in the form of R&D tax credits and patent regulation.
In accepting the award, both economists looked beyond the precariousness of the current moment and remained optimistic about the future. Acknowledging the Trump administration's climate change scepticism, Nordhaus did concede that the US faces ‘a difficult period’. Nonetheless, he was unerring in his confidence that the country is sufficiently equipped to see it through. Equally hopeful, Romer said he believed the prize’s announcement would reinforce the message that ‘people are capable of amazing things when they set about doing something’. With positivity so conspicuously absent from recent public discourse, it was refreshing to hear it from two experts whose fields offer so much opportunity for pessimism. In tackling both inequality and climate change, it is exactly the mentality we need to harness.
From: inomics.com