As the world celebrates María Corina Machado’s Nobel Peace Prize, the upcoming announcement of the Prize in Economics on Monday provides a poignant contrast. The 2025 Peace Prize decision champions the intangible values of human rights and democracy, which often defy the cost-benefit analysis central to economics.
Machado’s work is not something that can be easily measured in GDP or market efficiency. The value of a “just and peaceful transition to democracy” is moral and social, not financial. The Nobel committee has made a statement that these values are paramount.
Donald Trump’s approach to diplomacy, however, is often described as highly economic and transactional. He views international relations through the lens of “deals,” seeking tangible, measurable outcomes that benefit his nation’s interests. His was arguably the “economics prize” approach to peace.
The White House statement, with its focus on concrete results like “making peace deals” and “ending wars,” reflects this quantitative mindset.
By awarding the prize to Machado just days before the economics prize is revealed, the Nobel institution creates a powerful narrative. It reminds the world that while economic considerations are important, the foundations of a good society are built on principles of justice and freedom that cannot be bought or sold.