William D. Nordhaus and Paul N. Romer Won 2018 Nobel Prize for Analyzing Innovation, Global Climate Change, and Economic Growth

William D. Nordhaus and Paul N. Romer were awarded the 2018 Nobel Memorial Prize in Economic Sciences for their contributions to the economic analysis of long-term growth, in particular, Nordhaus's work on the interaction between economic growth and global climate change and Romer's work on the way market forces affect the rate of innovation and technical change.

The laureates "have designed methods for addressing some of our time's most basic and pressing questions about how we create long-term sustained and sustainable economic growth," the Royal Swedish Academy of Sciences said in a statement announcing the award. They "have significantly broadened the scope of economic analysis by constructing models that explain how the market economy interacts with nature and knowledge."

At the time of the award, Nordhaus was the Sterling Professor of Economics at Yale University, and Romer was a professor of economics at New York University’s Stern School of Business, where he directed the Urbanization Project. Nordhaus was affiliated with the NBER programs in Economic Fluctuations and Growth (EFG); Environment and Energy Economics; Productivity, Innovation, and Entrepreneurship; and Public Economics. Romer was a research associate in the EFG program.

More information on these Nobel laureates