Simplify the following text for a Grade 13 native English-speaking person.
Original: In announcing the prize , the Royal Swedish Academy of Sciences said Phelps ' work had `` deepened our understanding of the relation between short-run and long-run effects of economic policy . ''
Simplified: In its announcement , the Royal Swedish Academy of Sciences said Phelps ' work had `` deepened our understanding of the relation between short-run and long-run effects of economic policy . ''