Two Americans have won the Nobel Prize in Economics for their work on smoothing boom-and-bust cycles to limit unemployment and inflation.

Robert E. Hall of Stanford University and Michael Woodford of Columbia University were announced as the winners of the 2026 Nobel Prize in Economic Sciences at the Royal Swedish Academy of Sciences in Stockholm on Monday.

Their research has enabled central banks and governments to be "better equipped to deal with shocks in the economy, such as energy crises or sudden changes in how much households consume," according to John Hassler, chair of the Committee for the Prize in Economic Sciences.

Hassler made the remarks in an official news release accompanying the announcement.

The economics prize is the last of the Nobel awards to be announced each year.