Paul Milgrom

Paul Robert Milgrom (born April 20, 1948) is an American economist specializing in game theory, auction design, and market mechanisms. He holds the position of Shirley and Leonard Ely Professor of Humanities and Sciences in the Department of Economics at Stanford University.

Milgrom's research has focused on refining auction theory to address information asymmetries and bidder strategies, building on foundational work in non-cooperative game theory. In 2020, he shared the Nobel Memorial Prize in Economic Sciences with Robert B. Wilson for these theoretical improvements and for inventing practical auction formats, such as simultaneous multiple round auctions and the incentive auction mechanism used by the U.S. Federal Communications Commission to reallocate spectrum frequencies efficiently. These innovations have enabled governments and firms worldwide to conduct more competitive and revenue-maximizing sales of assets like radio spectrum, demonstrating causal links between auction structure and market outcomes grounded in empirical testing and theoretical modeling.

Paul Milgrom was born in Detroit, Michigan, in 1948 to Abraham Isaac Milgrom and Anne Lillian Milgrom (née Finkelstein), as the second of four sons; his older brother was Stuart, and his younger brothers were twins Barry and Steven. His father was born in Canada to Polish-Jewish immigrants, while his mother was born in Detroit to Ukrainian-Jewish immigrants. The family moved to Oak Park, a suburb of Detroit, in 1954.

Milgrom attended John Dewey Elementary School and Oak Park High School, graduating from the latter in 1966. His childhood involved typical activities for the era, including playing football, basketball, and baseball, as well as card games and participation in synagogue services at B'nai Moshe in Oak Park. He was involved in Jewish youth groups, including a 1964 trip with United Synagogue Youth on Wheels that reinforced his Jewish identity. Milgrom also enjoyed chess and math puzzles from an early age.