Joel Mokyr, Philippe Aghion, and Peter Howitt won the 2025 Nobel Prize in Economic Sciences for explaining how innovation and “creative destruction” drive long-term economic growth.
Their research shows that new technologies replace old ones, improving living standards but also requiring continuous innovation to avoid stagnation.
- Mokyr (Northwestern University) studied historical factors behind technological progress.
- Aghion (Collège de France, INSEAD, LSE) and Howitt (Brown University) built a model showing how innovation fuels growth.
Aghion urged Europe to balance competition and industrial policy, learning from the U.S. and China.
The prize, worth 11 million Swedish crowns ($1.2 million), was the final Nobel of 2025.
