Three US-based economists awarded Nobel Prize for work on banks

The committee said their work had shown in their research 'why avoiding bank collapses is vital'

A bust of the Nobel Prize founder, Alfred Nobel on display at the Concert Hall during the Nobel Prize award ceremony in Stockholm. Picture: Henrik Montgomery/Pool Photo via AP, File

This year’s Nobel Prize in economic sciences has been awarded to former chairman of the US Federal Reserve Ben S Bernanke, and two US-based economists, Douglas W Diamond and Philip H Dybvig, “for research on banks and financial crises”.

The prize was announced by the Nobel panel at the Royal Swedish Academy of Sciences in Stockholm on Monday.