Eric S. Maskin Awarded Nobel Prize in Economics

Eric S. Maskin, Albert O. Hirschman Professor in the School of Social Science at the Institute for Advanced Study, has been awarded the 2007 Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel.

Dr. Maskin, whose work in economic theory has had a deep influence on many areas of economics, political science, and law, is recognized by The Royal Swedish Academy of Sciences for “having laid the foundation of mechanism design theory.” According to the citation, the theory has among other things helped economists identify efficient trading mechanisms, regulation schemes and voting procedures. Dr. Maskin is sharing the Prize with Leonid Hurwicz of the University of Minnesota and Roger B. Myerson of the University of Chicago.

“It is a thrill of a lifetime to have received such a recognition,” stated Dr. Maskin. “It is particularly thrilling to share it with two such distinguished colleagues. Leo Hurwicz is the father of mechanism design theory and has inspired much of my work, and Roger Myerson is an old friend and collaborator and a tremendous economist.”

Peter Goddard, Director of the Institute, commented, “We are delighted that Eric’s fundamental contributions to mechanism design and other significant areas of economic theory have been recognized with the Nobel Prize. The impact of his research continues to be felt in many areas of development, finance, and politics and we are proud that the Institute is able to support his influential work now and for years to come.”

Mechanism design theory, initiated by Hurwicz and further developed by Maskin and Myerson, plays a central role in many areas of economics and parts of political science today. It takes into account information about individual preferences and available production technologies usually dispersed among many actors who may use their private information to further their own interests.
A leading economist whose work has been drawn on extensively by researchers in industrial organization, finance, development, and other fields in economics and political science, Maskin works in many areas of economic theory, including mechanism design, game theory and social choice theory. Much of his current research focuses on the theory of coalition formation, comparing different voting systems, the theory of repeated games, and the pros and cons of intellectual property rights.

Maskin joined the Faculty at the Institute in 2000. He received his A.B. in 1972, his A.M. in 1974 and his Ph.D. in 1976, all from Harvard University. He was a Research Fellow at Jesus College, Cambridge in 1976-77 and taught at M.I.T. from 1977 to 1984. In 1985 he moved to Harvard University, where he was named Louis Berkman Professor of Economics in 1997.

Fellow of the American Academy of Arts and Sciences and the Econometric Society, Maskin is also a Corresponding Fellow of the British Academy and an Honorary Fellow of St. John’s College, Cambridge. He is a past President of the Econometric Society and was named Monash Distinguished Visiting Scholar at Monash University and Honorary Professor at Wuhan University. He has served as Editor of The Quarterly Journal of Economics and Economics Letters.

To view a video of Maskin's Nobel Prize Lecture in Stockholm, please click here.

About the Institute for Advanced Study

The Institute for Advanced Study is one of the world’s leading centers for theoretical research and intellectual inquiry. The Institute exists to encourage and support curiosity-driven research in the sciences and humanities—the original, often speculative thinking that produces advances in knowledge that change the way we understand the world. Work at the Institute takes place in four Schools: Historical Studies, Mathematics, Natural Sciences and Social Science. It provides for the mentoring of scholars by a permanent Faculty of approximately 30, and it ensures the freedom to undertake research that will make significant contributions in any of the broad range of fields in the sciences and humanities studied at the Institute.

The Institute, founded in 1930, is a private, independent academic institution located in Princeton, New Jersey. Its more than 6,000 former Members hold positions of intellectual and scientific leadership throughout the academic world. Thirty-three Nobel Laureates and 40 out of 56 Fields Medalists, as well as many winners of the Wolf and MacArthur prizes, have been affiliated with the Institute.