Stockholm: British Economist Angus Deaton has been conferred the Nobel Memorial Prize in Economic Science on Monday for improving the accuracy of basic economic gauges, including measures of income, poverty and consumption.
Professor Deaton, 69, of Princeton, is best known for his insight that economic averages such as measures of national income could be misleading, because they concealed important variations among individuals.
“To design economic policy that promotes welfare and reduces poverty, we must first understand individual consumption choices,” the committee that awarded the prize said in a statement. “More than anyone else, Angus Deaton has enhanced this understanding. By linking detailed individual choices and aggregate outcomes, his research has helped transform the fields of microeconomics, macroeconomics and development economics.”
Professor Deaton was born in Scotland, and he is a British and American citizen. Speaking by phone at the news conference held to announce the prize on Monday, Professor Deaton said the message of his work was mostly optimistic.
Dr Amartya Sen was awarded the Nobel Prize for Economics in 1998 for his contribution in the field of welfare economics. He became the sixth Indian, and the first economist to win the coveted award. The following year he was also given the Bharat Ratna, India’s highest civilian honour.