Deaton, Angus (1945-…), a Scottish-American economist, won the 2015 Nobel Prize in economic sciences. Deaton received the award for “his analysis of consumption, poverty, and welfare.”
Deaton is best known for his research in the areas of health, welfare (well-being), and economic development. His work has increased the understanding of consumption (purchase and use) choices that individuals make and helped provide direction for economic policy that promotes welfare and reduces poverty. By linking detailed individual choices and aggregate (combined) outcomes for the whole community, Deaton’s research has transformed the field of development economics. Development economics is the branch of economics concerned with improving the economies of developing nations. Deaton forcused on how household decisions are made in a microeconomic setting, and how these decisions influence macroeconomic outcomes. Microeconomics is a branch of economics concerned with the choices made by individuals and organizations. Macroeconomics is the study of the economy as a whole, including total production, overall employment, and general price levels.
Some of Deaton’s most important work deals with the use of household surveys to better understand how people make consumption and saving decisions that lead families into and out of poverty. His research also has improved our understanding of what poverty is by pointing out the benefits and drawbacks of alternative measures of poverty over time and across rich and developing countries. According to the Nobel committee, Deaton “has consistently tried to bring theory and data closer together through his mastery of measurement and statistical methods.”
Angus Stewart Deaton was born in Edinburgh, Scotland, on Oct. 19, 1945. Deaton attended Cambridge University, in England, where he earned a bachelor’s degree in 1967, a master’s degree in 1971, and a doctorate in 1974. He also taught at Cambridge University as well as at the University of Bristol before moving to the United States. He holds both British and American citizenship. Since 1983, Deaton has taught economics and international affairs at Princeton University’s School of Public and International Affairs (formerly called the Woodrow Wilson School of Public and International Affairs).
Deaton has published numerous articles and written many books. His book The Great Escape: Health, Wealth, and the Origins of Inequality (2013) won praise as one of the best business books of 2013. In The Great Escape, Deaton examines historical as well as persistent patterns in the growing inequalities in well-being between people and nations across the world.
