The Royal Swedish Academy of Sciences in Stockholm has announced that the Nobel Prize in Economic Sciences has been awarded to Robert E. Hall and Michael Woodford.

The laureates allegedly secured the prestigious prize for their extensive work on the microeconomic foundations of macroeconomic stabilization. Their research reportedly enabled the development of complex economic models intended to help governments and central banks respond more effectively to economic booms and recessions.

Formally known as the Bank of Sweden Prize in Economic Sciences in Memory of Alfred Nobel, the award was established by Sveriges Riksbank in 1968. Because it was not part of Nobel's original 1895 will, critics frequently debate whether it can be considered a true Nobel Prize.

Despite ongoing debates regarding its origin, the prize is traditionally presented alongside the original categories on December 10, marking the anniversary of Nobel's death. This year's prize carries a cash award of 12 million Swedish kronor, equivalent to roughly $1.2 million.

Source: www.dw.com