A Northwestern University professor of economics, Dale Mortensen, is among a trio who won the Nobel Prize in Economics Monday morning, for research on disparities in a marketplace – namely, why jobs remain unfilled even when unemployment is high.
According to his bio, Mortensen focuses on labor economics at Northwestern, where he has been teaching since 1965. He won the $1.5 million prize along with Federal Reserve Board nominee Peter Diamond of MIT and Christopher Pissarides of the London School of Economics and Political Science.
Mortesen is on a visiting professorship right now at the University of Aarhus in Denmark, the Associated Press reported in a story about the prize:
“The laureates’ models help us understand the ways in which unemployment, job vacancies and wages are affected by regulation and economic policy,” the citation said.
Their work resulted in the so-called Diamond-Mortensen-Pissarides model, a frequently used tool to estimate how unemployment benefits, interest rates, the efficiency of employment agencies and other factors can affect the labor market.
“One conclusion is that more generous unemployment benefits give rise to higher unemployment and longer search times,” the academy said.
A picture of Mortensen and a little more about the prize are on the WBEZ site.
If you’re out of work, I wonder what you think about the prize – and their research?