Academic, Economist (1943-Present)
Joseph Stiglitz is a Noble Prize winning American economist who was also awarded the John Bates Clark Medal in 1979. In 2011, Time magazine named him as one of the 100 most influential people on the planet.
Stiglitz was a senior vice president and chief economist at the World Bank and is most famous for his critical response to the workings of both the IMF and the World Bank. He heavily critiqued the Bretton Woods institutions’ role in providing finance for LDCs and economies in crises, globalisation and laissez-faire economics.
He is also know for his research on screening, a method used by agents to discover information on others that would otherwise be difficult to obtain. Additionally, Stiglitz also researched efficiency wages and co-developed the Shapiro-Stiglitz efficiency wage model to explain why wages may be above the market clearing level. Moreover, he is known for his ‘Henry George theorem’ which states that an optimal supply of local public goods can be funded by the capture of land rents created by those very goods.
“Macroeconomic policy can never be devoid of politics: it involves fundamental trade-offs and affects different groups differently.”
– Joseph Stiglitz