Nobel for economics awarded
Photos of the 2013 Nobel Prize laureates in Economic Sciences Eugene Fama (L-R), Lars Peter Hansen and Robert Shiller are displayed during a news conference at the Royal Swedish Academy of Sciences in Stockholm October 14, 2013. The three American scientists won the 2013 economics Nobel prize on Monday for research that has improved the forecasting of asset prices in the long term and helped the emergence of index funds in stock markets, the award-giving body said. Photos of the 2013 Nobel Prize laureates in Economic Sciences Eugene Fama (L-R), Lars Peter Hansen and Robert Shiller are displayed during a news conference at the Royal Swedish Academy of Sciences in Stockholm October 14, 2013. The three American scientists won the 2013 economics Nobel prize on Monday for research that has improved the forecasting of asset prices in the long term and helped the emergence of index funds in stock markets, the award-giving body said.
Moscow - The Royal Swedish Academy of Sciences awarded the Nobel Prize in Economics Sciences to Oliver Hart and Bengt Holmstrom on Monday for their contributions to contract theory.
"The new theoretical tools created by Hart and Holmstrom are valuable to the understanding of real-life contracts and institutions, as well as potential pitfalls in contract design," the academy said in its announcement.
It lauded the laureates for developing a "comprehensive framework for analysing many diverse issues in contractual design," including performance-based payments and the privatisation of public-sector activities.
Hart, a British national, is a Professor of Economics at Harvard University. Holmstrom, a Finnish national, is a Professor of Economics and Professor of Economics and Management at Massachusetts Institute of Technology.
SPUTNIK