The late economist Arthur Lewis had a repute as a really sort, principled, quiet and contemplative thinker. And in August of 1952, he was strolling down a street in Bangkok, Thailand — when all of a sudden he had a flash of perception about an issue that had been baffling him.
Lewis noticed that when the economic system of a poor nation begins rising quicker, the brand new companies in that nation make some huge cash, they usually do rent numerous staff, however it takes a very long time earlier than the wages that these companies pay to staff additionally begin going up. That was the puzzle that Arthur Lewis solved.
Peter Blair Henry is an economist whose personal analysis has adopted within the footsteps of Lewis’s work. Peter says that Lewis’s perception modified our understanding of the ways in which poor international locations can increase dwelling requirements for his or her residents.
It was additionally the perception that made Lewis the primary Black economist to ever win the Nobel Prize in economics, one in all many achievements in a very pathbreaking profession that ranged from tutorial analysis to advising governments all all through the world.