Stockholm:The Royal Swedish Academy of Sciences has awarded the 2026 Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel to Robert E. Hall of Stanford University and Michael Woodford of Columbia University. The award was given for their work on the microeconomic foundations of macroeconomic stabilization.
According to Emirates News Agency, the laureates have developed innovative macroeconomic models that enhance the ability to implement effective stabilization policies. These models enable timely fiscal and monetary measures that can mitigate economic fluctuations.
John Hassler, Chair of the Committee for the Prize in Economic Sciences, noted that the laureates' contributions offer a stable theoretical foundation for models now used by central banks and governments globally, improving preparedness for economic shocks such as energy crises and shifts in household consumption.