Roger B. Myerson

DEFINITION of 'Roger B. Myerson'

An American economist and winner of the 2007 Nobel Prize in Economics, along with Leonid Hurwicz and Eric Maskin. Myerson's award-winning research deals with mechanism design theory. Born in Boston in 1951, he earned a PhD in applied math from Harvard. He was a professor of economics at Northwestern University's Kellogg School of Management for 25 years and then became a professor of economics at the University of Chicago.

BREAKING DOWN 'Roger B. Myerson'

Myerson's revenue equivalence theorem, now widely used in auction design, was his major contribution to mechanism design theory. Mechanism design theory explains how institutions can achieve social or economic goals given the constraints of individuals' self-interest and incomplete information.



RELATED TERMS
  1. Eric S. Maskin

    An American professor of social science at the Institute for ...
  2. Leonid Hurwicz

    A professor of economics at the University of Minnesota and winner ...
  3. Mechanism Design

    A branch of microeconomics that explores how businesses and institutions ...
  4. Mechanism Design Theory

    An economic theory that seeks to determine the situations in ...
  5. Robert J. Aumann

    An economist and winner of the 2005 Nobel Prize in Economics, ...
  6. James M. Buchanan Jr.

    An American economist and winner of the 1986 Nobel Memorial Prize ...
Related Articles
  1. Markets

    Nobel Winners Are Economic Prizes

    Before you try to profit from their theories, you should learn about the creators themselves.
  2. Investing

    5 Nobel Prize-Winning Economic Theories You Should Know About

    Here are 5 prize-winning economic theories that you’ll want to be familiar with.
  3. Professionals

    Get An Academic Finance Career

    Working nine months a year and earning a six-digit salary might seem like the high life, but these jobs are not easy to come by.
  4. Trading

    7 Controversial Investing Theories

    We take a closer look at the theories that attempt to explain and influence the market.
  5. Markets

    How Influential Economists Changed Our History

    Find out how these five groundbreaking thinkers laid our financial foundations.
  6. Investing

    Want A Career In Asset Management? Read This First

    When it comes to landing that job at an asset manager, not all degrees are created equally. Here's a look at the best schools for the job.
  7. Insights

    3 Billionaires Who Graduated From Harvard

    Learn more about three of the many billionaires Harvard has produced and how they have remained loyal by donating hundreds of millions to their alma mater.
  8. Financial Advisor

    Where the Ultra-Wealthy Go to School

    Want to concentrate on the best chance for building an ultra-wealth clientele? Start with their schooling ... and always bet on Harvard.
  9. Personal Finance

    At Harvard, Expect High Tuition But Generous Aid

    Harvard University might have one of the country’s highest tuition rates, but many students pay far less thanks to a strong financial aid program.
  10. Trading

    Modern Portfolio Theory vs. Behavioral Finance

    Modern portfolio theory and behavioral finance represent differing schools of thought that attempt to explain investor behavior. Perhaps the easiest way to think about their arguments and positions ...
RELATED FAQS
  1. What's the difference between agency theory and stakeholder theory?

    Learn how agency theory and stakeholder theory are used in business to understand common business communication problems ... Read Answer >>
  2. How do modern corporations deal with agency problems?

    Learn about ways that capitalist investment markets regulate the principal-agent problems that arise with corporate management ... Read Answer >>
  3. How can the problem of asymmetric information be overcome?

    Find out how market actors deal with the problem of asymmetric information, particularly when it leads to possible adverse ... Read Answer >>
  4. What is the chaos theory?

    The chaos theory is a complicated and disputed mathematical theory that seeks to explain the effect of seemingly insignificant ... Read Answer >>
  5. Why is Game Theory useful in business?

    Game theory was once hailed as a revolutionary interdisciplinary phenomenon bringing together psychology, mathematics, philosophy ... Read Answer >>
  6. What is the theory of asymmetric information in economics?

    Read a brief overview of asymmetric information theory in economics, the development of its main arguments and why some challenge ... Read Answer >>
Hot Definitions
  1. Dove

    An economic policy advisor who promotes monetary policies that involve the maintenance of low interest rates, believing that ...
  2. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  3. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  4. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
  5. Omnibus Account

    An account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined ...
  6. Weighted Average Life - WAL

    The average number of years for which each dollar of unpaid principal on a loan or mortgage remains outstanding. Once calculated, ...
Trading Center