Renowned economic historian Claudia Goldin has been awarded the 2023 Nobel Prize in Economics for her groundbreaking research elucidating the roots of persistent wage and labor market disparities between men and women, announced the Royal Swedish Academy of Sciences.
This prestigious accolade, officially known as the Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel, represents the final jewel in this year’s crown of Nobel honors and carries a substantial prize of 11 million Swedish crowns, nearly equivalent to $1 million.
The Royal Swedish Academy of Sciences acknowledged Goldin’s exceptional contributions, stating, “This year’s Laureate in the Economic Sciences, Claudia Goldin, provided the first comprehensive account of women’s earnings and labor market participation throughout the centuries. Her research not only reveals the causes of change but also identifies the primary sources of the lingering gender gap.”
Goldin’s remarkable achievement marks a significant milestone, as she becomes only the third woman to be honored with the Nobel Prize in Economics and the first to claim it independently, without sharing the award.
Upon learning of the accolade, Goldin described it as “recognition for groundbreaking ideas and long-term transformative change.”
Acknowledging the ongoing gender disparities, Goldin highlighted, “Substantial differences still exist between women and men in terms of their roles, remuneration, and more. The pivotal question is, why does this disparity persist? That’s what my work aims to uncover.”
Goldin’s influential 1990 book, “Understanding the Gender Gap: An Economic History of American Women,” stands as a seminal examination of the historical underpinnings of wage inequality spanning two centuries.
In a reflection posted on the Nobel website, Goldin characterized herself as a “detective” and expressed her lifelong penchant for solving intricate economic puzzles. Her research extended beyond gender-based pay gaps to encompass studies on the impact of contraceptive use on women’s career and marriage decisions, the cultural significance of women retaining their surnames after marriage, and the reasons behind the increasing prevalence of women as the majority of undergraduates.
Randi Hjalmarsson, a member of the Economic Prize committee, emphasized the profound societal implications of Goldin’s findings. Hjalmarsson noted, “Claudia Goldin’s discoveries hold immense societal relevance. She has illuminated how the nature and origin of this underlying gender gap have evolved over history and with economic development.”
Quoting Goldin herself, Hjalmarsson reiterated, “By correctly identifying and understanding the problem, we can pave the way for a better future.”
While it is illegal in many parts of the world for employers to engage in gender-based discrimination, significant gender pay disparities persist. In the United States, women earned an average of 82 percent of what men earned last year, according to a Pew Research Center analysis. In Europe, women earned, on average, 13 percent less per hour than men in 2021, as per data from the European Commission.
Goldin’s research has shed light on the multifaceted causes behind these disparities, ranging from overt discrimination to the concept of “greedy work,” a term she coined to describe roles that disproportionately reward longer hours or limited control over one’s work schedule, effectively penalizing women seeking flexible employment.
Gita Gopinath, the First Deputy Managing Director of the International Monetary Fund, hailed Goldin’s “trailblazing work,” emphasizing the alarmingly low female labor force participation in numerous countries.
The Nobel Prize in Economics, established and funded by Sweden’s central bank in 1968, is not one of the original Nobel Prizes but has since become a highly esteemed recognition. Previous laureates include influential figures such as Friedrich August von Hayek, Milton Friedman, and more recently, US economist Paul Krugman.
In the preceding year, a trio of US economists, including former Federal Reserve Chair Ben Bernanke, received the Nobel Prize for their research on the regulatory measures and government interventions that can prevent severe economic crises, similar to the Great Depression of the 1930s.
Goldin joins a select group of female Nobel laureates in economics, following Elinor Ostrom in 2009 and Esther Duflo a decade later.
Reflecting on her achievement, Goldin humorously shared, “Upon hearing the news, the first thing I did was tell my husband, who inquired how he could assist. I instructed him to take the dog out and make tea, as I needed to prepare for a press conference.”
