The prize winner 2013
Raghuram G. Rajan is Governor of the Reserve Bank of India (since September 2013). Previously, he was Chief Economic Adviser in the Finance Ministry, Government of India and Eric J. Gleacher Distinguished Service Professor of Finance at the University of Chicago’s Booth School of Business. Rajan has chaired the Indian government’s Committee on Financial Sector Reforms (2007 – 2008). Before that, he was Chief Economist and Director of Research at the International Monetary Fund (2003 – 2006). Professor Rajan served as the President of the American Finance Association in 2011. He is a member of the Group of Thirty and of the American Academy of Arts and Sciences.
An original thinker with outstanding contributions to theory and practice
Raghuram G. Rajan’s broad research interests include banking, corporate finance, and the role of finance in economic development. He is one of few economists who warned the world about the financial crisis that eventually broke out in 2008. Rajan’s penetrating analysis of the changing growth experience during the postwar era and of the differences in the nature of the crises faced by the United States and by Southern Europe is essential reading for understanding the current policy dilemmas between austerity and growth facing both sides of the Atlantic. Rajan argued forcefully the futility of excessive spending, the need to focus on sustainable long-term growth in designing short-term measures, and the importance of not forgetting to provide for those most adversely hit by austerity, such as the poor, the young, and the elderly.