This story is free to read.

The Latest: Peer praises economics Nobel prize winners

FILE - In this Nov. 2, 2015 file photo, Finnish Professor Bengt Holmstrom of Massachusetts Institute of Technology attends a business seminar in Helsinki, Finland. The Nobel Memorial Prize in economic sciences has been awarded to Oliver Hart and Bengt Holmstrom on Monday Oct. 10, 2016. The Nobel jury praises the winners "for their contributions to contract theory." (Jussi Nukari/Lehtikuva via AP, File) FINLAND OUT FILE - In this Nov. 2, 2015 file photo, Finnish Professor Bengt Holmstrom of Massachusetts Institute of Technology attends a business seminar in Helsinki, Finland. The Nobel Memorial Prize in economic sciences has been awarded to Oliver Hart and Bengt Holmstrom on Monday Oct. 10, 2016. The Nobel jury praises the winners "for their contributions to contract theory." (Jussi Nukari/Lehtikuva via AP, File) FINLAND OUT

By Associated Press October 10, 2016 1 min read

STOCKHOLM (AP) – The Latest on the Nobel prize in economics (all times local):

2:05 p.m.

Pennsylvania State University economist Ran Shorrer, who taught contract theory as a graduate student at Harvard, says Oliver Hart and Bengt Holmstrom have had a huge influence on the way corporations decide to pay executives.

He says that “any modern compensation scheme is informed by their work.”

He describes Hart as “very polite. Very British… He’s a great guy. He is a very senior guy, but he is very generous with his time.”