US economists Hall and Woodford win 2026 Nobel Prize in Economics

The Royal Swedish Academy of Sciences announced that Robert E Hall of Stanford University and Michael Woodford of Columbia University have been jointly awarded the 2026 Nobel Prize in Economics. The honour reflects their significant theoretical and empirical contributions to modern macroeconomics, a field of particular relevance to policymakers across Asia and beyond.

Hall, a leading figure in labour economics and business cycle analysis, has spent decades examining the relationship between employment, productivity, and economic fluctuations. His research has provided crucial insights into how economies adjust to external shocks and the mechanisms underlying unemployment dynamics.

Woodford, meanwhile, has established himself as a preeminent scholar in monetary economics and central banking. His work on forward-looking behaviour and expectations has fundamentally shaped how economists and policymakers understand the transmission of monetary policy through financial systems and real economies.

The award underscores the enduring importance of macroeconomic research in addressing contemporary policy challenges, including inflation management, employment stability, and financial system resilience. For central banks and governments across South and Southeast Asia, the theoretical frameworks developed by Hall and Woodford remain instrumental in formulating effective economic policies.

The Nobel Prize in Economics, established in 1968, is awarded annually to individuals who have made outstanding contributions to the field. Hall and Woodford become the latest recipients of this distinguished honour, joining a legacy of economic thinkers whose work continues to influence policy decisions worldwide.