American-born economists Robert E. Hall and Michael Woodford have won the Nobel Memorial Prize in economics for their work on models that help manage economic shocks. The Royal Swedish Academy of Sciences announced the winners Monday, honoring them for their contributions to macroeconomic stabilization. Hall is affiliated with Stanford University, and Woodford with Columbia University. Their work provides a stable foundation for models used by central banks and governments worldwide. The economics prize was established in 1968. It is presented with the other Nobel Prizes on Dec. 10. This year’s prize money is 12 million Swedish kronor, about $1.2 million.

Chileans are feeling the pinch as the cost of living rises, impacting even affordable foods like the completo, the country's version of the hot dog. Official data show Chile is nearing a recession, with unemployment at 9.5% and inflation over 4%. The Central Bank has cut growth forecasts, warning of persistent economic weakness. Many Chileans are cutting back on dining out, with basic food costs rising. President José Antonio Kast has launched an economic reactivation agenda to boost investment and employment. However, social frustration is growing as wages lag behind inflation, creating a challenging scenario for the government.