The Winners of the 2nd International Vernon Smith Prize 2009 for the advancement of Austrian Economics are:
First Prize EUR 5,000: Tyler Watts (USA) for his essay on “Entrepreneurial Externalities”.
Second Prize EUR 2,500: Luciana Lopes Nominato Braga (Brazil) for her essay on “Change and Action: Implications for the Market Process”.
Third Prize EUR 1,000: Juan Ramon Rallo (Spain) for his essay on “Destruction and Reconstruction of the Capital Structure”.
Topic of the 2nd International Vernon Smith Prize was “This process of Creative Destruction is the essential fact about capitalism. It is what capitalism consists in and what every capitalist concern has got to live in.” (Joseph A. Schumpeter in “Capitalism, Socialism, and Democracy”). Schumpeter’s famous phrase is meant to reflect not only the current state of economic affairs, but also to suggest ways and means to tackle a serious challenge to free markets, individual freedom, self-responsibility, and limited government.
ECAEF invited papers on this topic in English from individuals of up to 30 years of age. The deadline for all entries was November 30, 2009. Prizes were not transferable and have been awarded on the basis of originality, grasp of subject, and the logical consistence of the argument. Essays were judged by an international jury and the winners did present their papers at a special event in Vaduz, Principality of Liechtenstein, on April 29, 2010.