Nobel laureate Michael Kremer appointed chief economist at World Bank

American Michael Kremer, awarded the Nobel Prize for his experimental approach to combating global poverty, has been appointed chief economist of the World Bank. The press service of the international organization announced that the 61-year-old professor at the University of Chicago will take up the corresponding post on October 1.

The goal of the World Bank, which, as a specialized agency of the UN, works in close cooperation with the International Monetary Fund (IMF), is to help developing and poor countries.

Kremer, who won the Nobel Prize in 2019 along with fellow American Abhijit Banerjee and Frenchwoman Esther Duflo, has research interests in economic growth, technological change and development economics. “Their approach has transformed developing economies, which now represent a thriving field of research,” the award noted.

Soon after receiving it, Banerjee, who was born and educated in India and went on to study in the United States, said the rich were “sitting on a ton of cash,” which not only hampered demand but also led to rising inequality in developed countries such as the United States. According to the economist, if you raise taxes on the wealthiest and “give money away” to the rest, then business will respond to increased demand with investment.