Two American economists have won the Nobel Prize for improving the theory of how auctions work, and inventing new and better auction formats now woven into many parts of the economy.

The discoveries of Jewish economist Paul R. Milgrom and his collaborator, Robert B. Wilson, “have benefitted sellers, buyers and taxpayers around the world,” the Nobel Committee said, noting that the auction formats developed by the winners have been used to sell radio frequencies, fishing quotas and airport landing slots.

Both economists are based at Stanford University in California.