NZIER Economist of the Year award not presented in 2011, as nominees don't meet criteria of research leading to lasting NZ economic benefits

By Alex Tarrant

The prestigious NZIER Economist of the Year award is not being presented in 2011 after the selection panel decided no nominee met the award’s central criteria that seeks research that brings lasting economic benefits for New Zealand.

It is the second occasion in the award’s 17-year history that the panel appointed by the New Zealand Institute of Economic Research decided not to present the award, with the other being in 2006.

NZIER chairman Michael Walls, who also chairs the award’s selection panel, told interest.co.nz there were a range of rational reasons for why criteria may not been met this year, although he would be worried if this became more of a trend.

It was not just a question of awarding the title to someone who was a good economist, Walls said.

The person had to have an existing body of work and still be alive, while their research had to be identifiable and of outstanding value and either was, or likely to be, of lasting benefit to New Zealand in an economic sense.

It could therefore be the case that economists had just not been focussing research on areas which met the award’s criteria.

“It has happened before. The objective is to make sure that this is a really premium award that recognises people who have done something that is going to be a real lasting benefit to New Zealand, and we don’t want to keep giving it to the same old people,” Walls said.

“There’s been a list of really outstanding economists who have won it, and basically we’ve taken the view in the past, and it’s backed by the Institute’s board, that if the panel doesn’t think anyone measures up to the high standards then it is not for the benefit of the award to give it to someone who doesn’t measure up,” he said.

'Not the Academy awards'

The decision did not mean economists in New Zealand were not doing valuable research.

“One of the things we strike every year is that people are doing valuable research, but it hasn’t quite finished, it hasn’t yet been published, it hasn’t yet had time to percolate, or it’s hard to tell if it’s going to have lasting economic benefits,” Walls said.

It was not particularly worrying that the prize was not awarded this year, although if it carried on too long, it would raise concern.

“The whole point is to encourage this outstanding research, and if it doesn’t come forward then you have to ask why,” Walls said.

“But we don’t want to back down on standards. We’ve had people [nominated] who are well-known, they’ve published a lot of stuff, but the panel has thought it’s not likely to be other than ephemeral - it’s the hit of the moment, and people are talking about it and it’s arousing controversy, but for one reason or another it’s not likely to be of economic benefit,” he said.

Research could have been published some years ago but was only just starting to have effect or be leading to economic benefits.

“It’s not like the academy awards.”

There was nothing in the criteria stipulating past winners could not be awarded again, although the panel’s bias was to seek out economists who had not been recognised before.

“We wouldn’t give it to people for the same work, but some of them might have gone on to do new work...or improved it – struck out on a new line. But we haven’t quite struck that situation yet. We’re certainly open to it,” Walls said.

“We’re trying to avoid what I call the Cassandra Effect where you get an awful lot of people who are right, but who are not yet recognised, and you have to take a big guess as to whether they’re ever going to be recognised,” he said.

“The whole thing is influence, one of the major criteria – is it going to be important in the development of economics in this country? You say economics, you mean the people who make decisions. Funnily enough that isn’t only government – it’s people in major thinking areas, or organised labour, or disorganised labour, or businesses.”

Neither was the reason a dire lack of nominations.

“We tried very hard to dig out those nominations, and to remind people of the existence of the award and say, ‘would you like to nominate someone to be considered?’ It works, but there was a certain amount of, ‘I must get around to it,’ Walls said.

Selection panel

The panel awarding the prize was chosen from people who represented the broader economic and business sector.

Bob Buckle represented academic members of the economic profession, and John Anderson the business community. Deputy Reserve Bank Governor John McDermott was the nominee of Alan Bollard, while Struan Little was the nominee of the Secretary of the Treasury. New Zealand Association of Economists President Mary Hedges rounded off the selection panel.

“We want to make sure that we just don’t get the academics or the people in the bastions of economic power like the Reserve Bank and so on, having undue influence. We get people with a range of ideas,” Walls said.

The award:

Objectives

• To recognise and reward a specific contribution or a general contribution in the fields of applied economics, or economic dissemination, or economic policymaking affecting New Zealand provided that these are of relevance to the economic welfare of New Zealand.

• To encourage excellence in those areas of economics that relate to New Zealand's economic welfare.

• To further the objective in the NZIER Constitution: "to advance the study and understanding of economic matters directly or indirectly affecting New Zealand... by the awarding of fellowships, scholarships and bursaries and by any other appropriate methods".

Eligibility

Those who currently practise or previously practised applied economics, economic dissemination or economic policymaking in New Zealand or are involved in, or were involved in, economic work of direct relevance to New Zealand. Practising economists include those involved in teaching or academic work, research, policymaking, business, journalism, and economic commentating. Nominees must be alive.

Past winners:

2010 Dr Suzi Kerr

2009 Dr Brian Easton

2008 Professor John Gibson

2007 Dr Caroline Saunders

2006 The Awarding Panel elected not to present an award in 2006

2005 Dr Arthur Grimes

2004 Dr Grant Scobie

2003 Robert Buckle

2002 Professor Peter Lloyd

2001 Roger Kerr

2000 Professor Peter Phillips

1999 Dr Donald Brash

1998 Professor Gary Hawke

1997 Dr Graham Scott

1996 Professor Lewis Evans

1995 Sir Frank Holmes

1994 Dr Roderick Deane