This year's Nobel Prize in Economics has been awarded to Thomas Schelling and Robert Aumann for their work on game theory. It's a nice pairing, as Schelling's work is quite accessible and non-technical, whereas Aumann's is more mathmatically oriented. Sometime VC co-blogger Tyler Cowen provides links on the announcement here with his perspective on what the prize means. He also has separate posts here on Schelling and Aumann.

Dan Drezner is happy Thomas Schelling won the economics Nobel, and cheerfully defends Schelling's reputation against charges he encouraged "controlled escalation" and "punitive bombing" in Vietnam.