Title: Examining Firm Responses to Innovation Policy: An Analysis of Pediatric Exclusivity
Author: Mary Olson and Nina Yin
Speaker: Nina Yin
Abstract:Our paper examines how firm innovation strategies were affected by the 1997 PediatricExclusivity Provision. The innovation policy was adopted to incentivize pediatricstudies for medically important drugs, but the policy design may distort firm incentivesin ways that could undermine policy goals. We examine the influence of a drug’s medicalimportance and total sales on FDA’s demand and firms’ supply of pediatric studies.Results provide evidence of policy inefficiency. Firms prioritized pediatric studies forhigh revenue drugs over drugs that are medically important to children; and pediatricstudies for older drugs with less remaining patent life over newer drugs.
About Nina Yin: She is an associate professor at China Center for Human Capital and Labor Market Research
Location:Room 608, Academic Hall, CUFE