Trio wins economics Nobel for work on innovation, 'creative destruction'

Joel Mokyr, Philippe Aghion, and Peter Howitt won the 2025 Nobel economics prize on Monday for their work on how innovation and the forces of “creative destruction” can drive economic growth and lift living standards across the globe.

- REUTERS

Their research explains how technology gives rise to new products and production methods which replace old ones, resulting in a better standard of living, health and quality of life.

"Over the last two centuries, for the first time in history, the world has seen sustained economic growth. This has lifted vast numbers of people out of poverty and laid the foundation of our prosperity," the Royal Swedish Academy of Sciences, which awards the prize, said.

The laureates have also shown that such progress cannot be taken for granted, the Academy said, while two of the prize winners highlighted that US President Donald Trump's trade policies would impinge on growth.