Bring a large pot of salted water to a boil. Add 8 ounces of elbow macaroni and cook according to package instructions until al dente, usually about 7-8 minutes. Drain and set aside.
In your oven-safe skillet, melt 2 tablespoons of unsalted butter over medium heat. Once melted, sprinkle in 2 tablespoons of all-purpose flour and whisk continuously for about 1-2 minutes to cook the flour taste out and form a smooth paste.
Slowly pour in 2 cups of whole milk while whisking to avoid lumps. Stir in 1 teaspoon each of garlic powder, onion powder, and paprika. Continue to cook, whisking frequently, until the sauce thickens and coats the back of a spoon—about 5 minutes.
Lower the heat to medium-low and gradually add 2 cups shredded sharp cheddar and 1 cup shredded mozzarella cheese, stirring constantly until fully melted and smooth. Season with salt and pepper to taste.
Add the cooked and drained macaroni to the skillet and gently stir to combine, making sure every piece is coated in that luscious cheese sauce.
In a small bowl, toss 1 cup panko breadcrumbs with 1 tablespoon olive oil until evenly coated. Sprinkle the panko mixture evenly over the mac and cheese in the skillet.
Preheat your oven to 375°F (190°C). Place the skillet in the oven and bake for 20-25 minutes, or until the top is golden brown and extra crispy.
Remove from the oven and sprinkle with chopped parsley if desired for a pop of color and freshness. Serve hot and enjoy the perfect blend of creamy and crispy textures!