Three leading economists, Joel Mokyr, Philippe Aghion, and Peter Howitt, have been awarded the 2025 Nobel Prize in Economics for showing how innovation is the heartbeat of economic growth. Their research reveals how new ideas, technologies, and a spirit of openness can transform living standards and create lasting prosperity across the world.
From Stagnation to Acceleration
For most of human history, economic growth barely moved. Life improved in small bursts, but progress soon slowed. Then came the age of invention, a turning point when curiosity met knowledge and changed everything.
As the Nobel committee put it, “Sustained economic growth, driven by a continuous stream of technological innovations, has replaced stagnation.” This marks the shift from isolated discoveries to a living system of progress, one where science and technology constantly build upon each other to power forward momentum.
The Spark That Keeps the Engine Running
Joel Mokyr’s research shows that innovation is not just about making things, it is about understanding them. When people know why something works, they can improve it, expand on it, and pass that knowledge forward. That insight turned the industrial revolution from a burst of creativity into a continuous engine of growth.
He also reminds us that innovation only thrives in open, curious societies — cultures that welcome new ideas and embrace change rather than fear it.
Meanwhile, Philippe Aghion and Peter Howitt built on this with their theory of “creative destruction.” They describe growth as an ongoing cycle where new technologies replace the old, like smartphones evolving from rotary telephones. Their work shows that even as some industries fade, new ones rise, ensuring that innovation never stands still.
Together, their ideas paint a picture of progress as a relentless and renewing force that challenges comfort zones while opening new horizons.
Collaboration Fuels the Breakthroughs
Behind every major leap forward lies a web of cooperation. Collaboration between governments that invest in research, universities that nurture ideas, and businesses that bring innovations to life. The laureates emphasize that when these forces connect, society can unlock extraordinary potential.
But they also warn of the dangers that threaten this progress: trade barriers, isolationist policies, and restrictions on immigration. These walls not only block people but goods, they block ideas. As Aghion put it, “Openness is a driver of growth.”
What It Means for Us at Ideon Science Park
The message of this year’s Nobel Prize speaks directly to what drives us at Ideon Science Park. We believe, as these economists have proven, that innovation is the ultimate growth engine. It’s how societies advance, how we solve the grand challenges of our time, and how we keep opportunity alive for the next generation.
At Ideon Science Park, we see this every day: when entrepreneurs, researchers, and businesses meet, innovation becomes movement, not just invention, but transformation.
That is the power of openness, creativity, and collaboration. This is what will continue to fuel sustainable growth for the world, starting right here.
