Former Fed chief Bernanke wins Nobel Prize for economics

 Ben Bernanke, the previous US Federal Reserve governor, has been granted the current year's Nobel Prize in financial matters alongside Douglas Precious stone of the College of Chicago and Philip Dybvig of Washington College, for their work on the job of banks in the economy and monetary emergencies.

The board giving out the SKr10mn ($886,000) grant — authoritatively known as the Sveriges Riksbank Prize in Monetary Sciences in Memory of Alfred Nobel — said on Monday that the laureates' work, started in the mid 1980s, had "worked on our capacity to keep away from both serious emergencies and costly bailouts". The triplet will share the prize similarly.

Bernanke, who supervised the Federal Reserve's reaction to the 2008 monetary emergency and resulting downturn, was known for his examination of the Economic crisis of the early 20s of the 1930s — in which he showed that bank runs had been a conclusive component making the emergency be so profound and delayed.

Jewel and Dybvig had in the mean time exhibited how banks carried out vital social roles as middle people between savers who needed moment admittance to their cash, and borrowers who expected to make long haul ventures.

They showed how this made banks helpless against gossipy tidbits about their inescapable breakdown — and how this weakness could be tended to through store protection plans and by legislatures going about as a moneylender after all other options have run out