Nobel Laureates Duflo and Banerjee Depart MIT for Zurich Amidst 'Trump Center' Funding Dispute
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- October 12, 2025
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A seismic shift is set to ripple through the world of academia as Nobel laureates Esther Duflo and Abhijit Banerjee, two of the most influential economists of our time, prepare to depart the prestigious Massachusetts Institute of Technology (MIT) for the University of Zurich. This high-profile move is not merely a change of scenery, but a direct consequence of a deeply rooted dispute concerning academic integrity and the terms of a massive donation linked to a "Trump Center" at MIT.
The controversy stems from a substantial $200 million pledge by the Adelson Foundation, spearheaded by Miriam Adelson, intended to establish an "AI and Democracy Center" at MIT.
However, the proposed terms of this funding included a controversial stipulation: the center was to be named after former President Donald Trump. While MIT leadership, including President Sally Kornbluth, engaged in extensive negotiations to find a compromise, the institution ultimately stood firm, rejecting the funding over concerns that the naming condition, even for a post-presidency figure, would compromise MIT's core values of academic independence and non-partisanship.
This principled stand by MIT, while upholding its institutional ethics, has inadvertently led to the departure of two of its most celebrated faculty members.
Esther Duflo and Abhijit Banerjee, jointly awarded the Nobel Memorial Prize in Economic Sciences in 2019 for their experimental approach to alleviating global poverty, have been pillars of MIT's economics department. Their groundbreaking work, which has profoundly influenced development economics and policy, has garnered international acclaim and significantly boosted MIT's intellectual standing.
The move to the University of Zurich represents both a significant loss for MIT and a monumental gain for the Swiss institution.
Zurich is poised to become a new hub for cutting-edge economic research, attracting further talent and attention. For Duflo and Banerjee, this transition offers a fresh environment for their continued research and teaching, allowing them to pursue their academic endeavors free from the shadow of the funding controversy that has embroiled their former institution.
The departure of such esteemed academics underscores the growing complexities universities face in balancing substantial donor interests with the imperative to safeguard academic freedom and institutional values.
It highlights a critical ongoing debate within higher education about the ethical implications of large-scale philanthropy and the potential influence on research agendas and institutional branding. As Duflo and Banerjee embark on this new chapter in Zurich, their move serves as a powerful reminder of the delicate equilibrium required to maintain academic excellence while navigating the intricate landscape of modern university funding.
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