Joseph E. Stiglitz
27 Pages Posted: 20 Apr 2016
Date Written: January 1, 2008
Joseph E. Stiglitz, 2001 Nobel Laureate in Economics, helped create the theory of markets with asymmetric information and was one of the founders of modern development economics. He played a leading role in an intellectual revolution that changed the characterization of a market economy. In the new paradigm, the price system only imperfectly solves the information problem of scarcity because of the many other information problems that arise in the economy: the selection over hidden characteristics, the provision of incentives for hidden behaviors and for innovation, and the coordination of choices over institutions.
Keywords: Labor Policies, Economic Theory & Research, Debt Markets, Financial Intermediation
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