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Economics Nobel winner supported demonetisation but not new currency

Thaler today won the Nobel Prize in Economic Sciences

Press Trust of India  |  New Delhi 

In this June 22, 2014 file photo US economist Richard Thaler poses for a photo during the award ceremony for the world economy prize in Kiel, Germany (Photo: AP/PTI)

When India announced last November, Prize winner described it as a "policy I have long supported" but also remarked "damn" when it was brought to his notice that the government was introducing Rs 2,000 notes.

Thaler, a Professor of Economics and Behavorial Science at the University of Chicago, today won the Prize in Economic Sciences.

Former RBI Governor Raghuram Rajan is currently serving as Distinguished Service Professor of Finance, University of Chicago Booth School. Rajan, whose name was also doing the rounds for the Prize, recently stated that he was never in favour of

In a tweet on November 8, 2016 -- along with a link to a news article about -- Thaler said, "This is a policy I have long supported. First step toward cashless and good start on reducing corruption."

Soon after responding to comments that Rs 2,000 notes are to be introduced, Thaler tweeted, "really? Damn".

These tweets came from the Twitter handle '@R_Thaler', which is not officially verified but was tagged by the official feed of the Prize.

"BREAKING NEWS The 2017 Prize in Economic Sciences is awarded to Richard H Thaler @R_Thaler @UChicago @ChicagoBooth #NobelPrize," the official twitter feed of the Prize tweeted today.

On November 8, Prime Minister Narendra Modi had announced of old Rs 500 and Rs 1,000 notes as part of efforts to curb illicit fund flows and corruption.

Thaler is the Charles R Walgreen Distinguished Service Professor of Economics and Behavioral Science and Director of the Center for Decision Research, Booth School of Business, University of Chicago.

The Royal Swedish Academy of Sciences today said Thaler has incorporated psychologically realistic assumptions into analyses of economic decision-making.

"By exploring the consequences of limited rationality, social preferences, and lack of self-control, he has shown how these human traits systematically affect individual decisions as well as market outcomes," it said in a release while announcing him as the winner of the prize.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Mon, October 09 2017. 22:55 IST