James M. Buchanan is an American economist and winner of the 1986 Alfred Nobel memorial prize in Economics. He is one of the founders of the school of new political economy. Born on October 3, 1919 in Marfreesboro, Tennessee. James Buchanan attended the University of Tennessee. He received his doctorate from the University of Chicago. He developed a constitutional economy that saw the rules governing politics as an essential Foundation for all economic activity. He is known for his work on public choice theory. Buchanan made a major contribution to the revival of political economy as a subject of scientific research. Buchanan rejected any idea that the state is intellectually superior to its citizens. This philosophical position is the Foundation of constitutional Economics. Buchanan argued that every Constitution is designed to protect the interests of several generations, including subsequent generations. Therefore, the Constitution must balance the interests of the state, society and the individual.