Nobel Prize 2026: Two Economists Honored for Developing Models of Macroeconomic Stability
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This year’s Nobel Prize in Economics has been awarded to Robert Hall and Michael Woodford.
The Nobel Prize Committee announced that both economists are being honored for their groundbreaking research on the “microeconomic foundations of macroeconomic stability” and for developing new macroeconomic models.
According to the committee, the new macroeconomic models developed by them have significantly improved the effectiveness of policies aimed at stabilizing the economy.
“These models allow the smoothing out of economic fluctuations through financial and monetary policies,” the committee stated.
The Nobel Prizes are awarded annually in six different categories.
The announcements for winners in various categories began last Monday, and the full list of laureates is now complete.
Since 1969, the Nobel Committee has awarded the Economics Prize 58 times to individuals and institutions in recognition of their significant contributions.
The youngest laureate to receive the prize was Esther Duflo in 2019, who was 46 at the time.
Leonid Hurwicz holds the record as the oldest laureate in this category, receiving the award in 2007 at the age of 90.
Other Winners This Year
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- Medicine: American psychologist and neuroscientist Karl Deisseroth along with his German colleagues Peter Hegemann and Georg Nagel were honored for their significant contributions in the field of optogenetics.
- Physics: Francis Halzen, born in Belgium and teaching in the United States, was recognized for founding the ‘IceCube Neutrino Observatory’ and discovering high-energy neutrinos in space.
- Chemistry: French scientist Henri B. Kagan and Japanese scientist Kenso Soai were honored for uncovering the mysteries of chemical asymmetry in living organisms.
- Literature: Canadian N. Carson was recognized for their “bold and innovative work creating new forms of contemporary literature through engaging dialogue with classical traditions.”
- Peace: South African Nawantam Navi Pille was honored for her contributions to peace and international law promotion.
Previous Nobel Laureates in Economics
- 2024: Americans Daron Acemoglu, Simon Johnson, and James Robinson were awarded for their research on why some countries are rich while others are poor.
- 2023: Claudia Goldin received the prize for distinctive studies on women’s roles in the labor market.
- 2022: Ben Bernanke, Douglas Diamond, and Philip Dybvig were recognized for their research on banking and financial crises.
- 2021: David Card was honored for contributions to labor economics, and D. Angrist along with Guido W. Imbens for work on causal relationships.
- 2020: Paul Milgrom and Robert B. Wilson received the award for improvements to auction theory and the development of new auction formats.
- 2019: Abhijit Banerjee, Esther Duflo, and Michael Kremer were awarded for their experimental approach to alleviating global poverty.
- 2018: William D. Nordhaus was recognized for integrating long-term economic analysis of climate change, and Paul Romer for technical advances in long-term macroeconomic analysis.
- 2017: Richard Thaler received the prize for contributions to behavioral economics.
- 2016: Oliver Hart and Bengt Holmström for contributions to contract theory.
- 2015: Angus Deaton was honored for analysis of consumption, poverty, and welfare.
The Nobel Prize Decision Process
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The prizes in Physics, Chemistry, Medicine, Literature, and Economics are awarded in Stockholm, Sweden.
The Nobel Peace Prize selection takes place in Norway and is overseen by a five-member committee appointed by the Norwegian Parliament. The Peace Prize is awarded in Oslo.
Each laureate receives an original Nobel diploma, a Nobel medal, and a cash award of 11 million Swedish kronor.
In cases where multiple laureates are honored, the prize money is divided among them, and each winner is expected to give a speech.
The Nobel Prizes are presented on December 10, in a ceremony marking the anniversary of Alfred Nobel’s passing.