MIT Economics Department Establishes Stone Center for Inequality and Future of Work

Cambridge, MA – The MIT Department of Economics is set to launch the James M. and Cathleen D. Stone Center on Inequality and Shaping the Future of Work, marking a significant expansion of its research and policy efforts. This initiative, made possible by a generous gift from the James M. and Cathleen D. Stone Foundation, will officially commence in July, with a public launch event planned for fall 2025.

The Stone Center will build upon the foundation laid by MIT’s Shaping the Future of Work Initiative, focusing on the intricate relationships between technology, inequality, and the evolving labor market. The center aims to foster collaboration among scholars from various disciplines, including economics, management, and computing, to address the challenges posed by automation, artificial intelligence, and wealth inequality.

Leading the Stone Center will be Institute Professor Daron Acemoglu, along with co-directors David Autor, the Daniel (1972) and Gail Rubinfeld Professor in Economics, and Simon Johnson, the Ronald A. Kurtz (1954) Professor of Entrepreneurship. The center will join a network of 11 other wealth inequality centers supported by the Stone Foundation, all dedicated to advancing research on the causes and consequences of wealth accumulation.

“This generous gift from the Stone Foundation advances our pioneering economics research on inequality, technology, and the future of the workforce,” said Provost Cynthia Barnhart. “This work will create a pipeline of scholars in this critical area of study, and it will help to inform the public and policymakers.”

Originally established with support from the William and Flora Hewlett Foundation, the Shaping the Future of Work Initiative has been instrumental in applying economic research to identify ways to promote a more equitable labor market, particularly for workers without a college education. The initiative’s research has highlighted the decline in labor market opportunities for non-college workers as a major driver of growing wealth inequality.

The Stone Center will extend this research agenda to include a greater emphasis on the interplay between technologies and inequality, as well as the technology sector’s role in shaping future inequality. Core objectives include fostering connections between scholars, strengthening the pipeline of emerging scholars, and using research to inform a wider audience, including the public, students, and policymakers.

James M. Stone expressed his enthusiasm for welcoming MIT to the Stone Centers family, stating, “Cathy and I are thrilled to welcome MIT to the growing family of Stone Centers dedicated to studying the urgent challenges of accelerating wealth inequality.”

Agustín Rayo, dean of the School of Humanities, Arts, and Social Sciences, emphasized the cross-disciplinary potential of the center, noting that it will “support cross-disciplinary interactions that will enable new insights and solutions to complex social challenges.” Jonathan Gruber, chair of the Department of Economics, added that the Stone Foundation’s support will allow the initiative to continue its “incredible work, while expanding their priorities to include other critical issues around inequality.”

Acemoglu, Autor, and Johnson all expressed gratitude for the Stone Foundation’s support and emphasized the importance of studying inequality and the future of work. Acemoglu hopes to develop ideas about how society can shape both the work of the future and inequality by its choices of institutions and technological trajectories.

Johnson highlighted the opportunity to work with colleagues at MIT and around the world to advance understanding and practical approaches to inequality and the future of work. Autor added that the support will enable a focus on “shaping a labor market that offers opportunity, mobility, and economic security to a far broader set of people.”