Vernon Smith has won this year’s Nobel Prize in Economics for his pioneering work in experimental economics. This is outstanding! See the press release from Mercatus for further details. See also my post from yesterday about electricity experiments and demonstrating the benefits of choice. Vernon Smith and his work form part of the foundation of why I named this website “The Knowledge Problem”. Many, many congratulations.
Smith will share the Nobel this year with Daniel Kahneman, whose behavioral work integrates psychology and how humans make decisions in the face of uncertainty into economics. Kahneman’s seminal work with Amos Tversky has really broadened our understanding of human decision-making.
This is a great Nobel year.