American economic historian and labor economist; Harvard professor and Nobel laureate
Winners have been named in medicine, physics and chemistry, with a total prize pool of 12 million Swedish kronor. Medicine highlights optogenetics; physics advances neutrino research; chemistry recognizes work on mirror-image molecules. The literature prize and economics prize will be awarded later this week and next week respectively.
The Nobel Prize in Economic Sciences has been awarded to Hall and Woodford for creating microeconomic foundations that stabilize macro policy. Their models support central banks and governments in dampening economic swings and guiding responses to shocks like energy crises.
The Royal Swedish Academy of Sciences has recognised Robert Hall and Michael Woodford for developing microeconomic foundations of macroeconomic stabilisation, enabling policymakers to smooth business cycles. The prize highlights New Keynesian models that connect household and firm decisions to policy tools, with forward guidance becoming a central instrument.