Economic Insights from a Nobel Contender

Prof. Daron Acemoğlu, considered one of the strongest contenders for the Nobel Prize, met with journalists and academics at Bahçeşehir University.

Daron Acemoğlu, recipient of the John Bates Clark Medal awarded to the best American economist under the age of 40 and professor of economics at the Massachusetts Institute of Technology (MIT), one of the most prestigious universities in the USA, was in Istanbul as a guest of Bahçeşehir University. Meeting with a group of academics and economics columnists at Bahçeşehir University, Acemoğlu talked about his new book, due to be published in December, and the story of his progress on the road to the Nobel Prize.

Daron Acemoğlu, who conducts research on the relationship between economics and democracy, stated that he develops theories seeking an answer to the question "Why do some countries become democratic while others cannot?" Acemoğlu said, "The importance of economics cannot be denied, but I cannot agree with Lenin, who said 'Politics is the concentrated expression of economics.'" Stating that democracy is born from an economically based conflict between elites and the masses, Acemoğlu said that the masses want democracy but the elites oppose it, and that the balance of power between the two determines the outcome. Acemoğlu said, "Increasing the power of elites can facilitate the transition to democracy, but if the power of elites gets out of hand, democracy can then collapse. Take Singapore, for example... Why has it never become democratic? Because it is a very equal society. Its level of prosperity is high, and this prosperity is distributed quite equally. Therefore, the masses have no need to demand democracy from the elites."

"THE CHINESE DREAM WILL COME TO AN END"

Also touching on China, which attracts attention with its rising economy, Acemoğlu said, "China has reached this point by copying all kinds of production. But since it does not produce anything of its own, growth in China is not realistic, and they are likely to face serious problems in the future."

"WE WILL SEE DIFFERENT STRUCTURES IN THE MIDDLE EAST"

Asked about his views on the Middle East, a hot region, Daron Acemoğlu said that the region is on the verge of new developments and changes. Acemoğlu said, "Removing Hosni Mubarak alone is not enough. There are tremendous differences between Tunisia and Egypt. New developments are likely."

"A PRESIDENTIAL SYSTEM SHOWS INSTABILITY"

Also sharing his views on the presidential system, a recent topic of debate, Daron Acemoğlu thinks that the presidential system is more unstable than the parliamentary system.

"I DO NOT WORK WITH THE NOBEL IN MIND"

Daron Acemoğlu, considered one of the strongest future contenders for the Nobel Prize, said, "I do not work constantly thinking about the Nobel. Otherwise, I could not focus on what I really need to do. But for the Nobel, the team you work with is also very important."