Business · Economy · 1 hr ago
Robert Hall and Michael Woodford win 2026 economics Nobel
Robert Hall of Stanford University in California and Michael Woodford of Columbia University in New York have won the 2026 Nobel Prize in Economic Sciences.
They were recognized for research on the foundations of macroeconomic stability, which examines how decisions by households and businesses affect the economy as a whole.
Their work helped develop models used by central banks and finance ministries to assess policy choices.
These models can help policymakers weigh responses to recessions, rising prices and sudden shocks, including energy crises.
The research developed in response to limits in older economic models, highlighted by the combination of high inflation and weak growth during the oil crises of the 1970s.
Its tools also gained attention after the 2008 global financial crisis and during the COVID-19 pandemic.
One related policy tool is forward guidance, in which central banks signal the likely path of interest rates to influence expectations.
The award is worth 12 million Swedish kronor, about $1.2 million, to be shared by the two winners.
Robert Hall and Michael Woodford won the 2026 Nobel Prize in Economic Sciences for research on the microfoundations of macroeconomic stability.
The Royal Swedish Academy of Sciences said their work helped shape models used by central banks and governments.
Their research examines how decisions by households and businesses affect the economy as a whole.
The prize is worth 12 million Swedish kronor, shared by the two winners.
- Who
- Robert Hall of Stanford University and Michael Woodford of Columbia University.
- What
- They won the 2026 Nobel Prize in Economic Sciences for research on the microfoundations of macroeconomic stability.
- When
- The prize was announced in 2026; the article was published on October 13.
- Where
- Hall is at Stanford University in California, and Woodford is at Columbia University in New York. The award was announced by the Royal Swedish Academy of Sciences.
- Why
- Their research helped develop tools and models used by central banks and governments to understand and manage economic stability.
This story does not have two clearly opposing sides.
Oil crises combined high inflation with weak growth and rising unemployment, prompting economists to rethink models for explaining economic fluctuations.
The global financial crisis highlighted the use of modern economic models to assess interventions to support economic activity and limit recession risks.
Central banks cut interest rates to low levels, increasing the importance of forward guidance.
Okaz reported that Robert Hall and Michael Woodford had won the 2026 Nobel Prize in Economic Sciences.
- Prize
- 2026 Nobel Prize in Economic Sciences
- Winners
- Robert Hall and Michael Woodford
- Research
- Microfoundations of macroeconomic stability
- Prize amount
- 12 million Swedish kronor, shared by the winners
- Affiliations
- Hall: Stanford University; Woodford: Columbia University
What people are saying
It is a great honor. It is a surprise, but I feel very happy.
Sources
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