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Where to Find the Course: Home Page: http://gspp.berkeley.edu/iths/RDStrateg ies/Home.htm Wiki: https://bspace.berkeley.edu/portal
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Where to Find the Course:
Home Page: http://gspp.berkeley.edu/iths/RDStrategies/Home.htm
Wiki: https://bspace.berkeley.edu/portal
Course Overview:Course Overview:Thinking Through the ProblemThinking Through the Problem
Stephen M. Maurer
Designing Strategies for Neglected Disease ResearchLaw 284.26
Public Policy 190/290
Where to Find the Course:
Home Page: http://gspp.berkeley.edu/iths/RDStrategies/Home.htm
Wiki: https://bspace.berkeley.edu/portal
Owner’s Manual
Owner’s Manual
“The power of instruction is seldom of much efficacy except in those happy dispositions where it is almost superfluous."
- Edward Gibbon
This is nominally …
A Course About a Specific Innovation Problem (Mostly Economics)
But you should think of it as …
A Course About R&D Incentives
Ongoing Research
A Course About Giving Practical Advice
(A Potential Initiative)
The Hard (Also Rewarding, Interesting) Part…
Goals
Interdisciplinary Problems
Three views- Cartoon intuition- “How to do public policy”- A worked example.
InterdisciplinaryProblems
Drugs for U.S.
Drugs for DevelopingWorld
The Problem
Political Science –Redistribution
Drugs for U.S.
Drugs for DevelopingWorld
InterdisciplinaryProblems
Biology & Engineering
Drugs for U.S.
Drugs for DevelopingWorld
InterdisciplinaryProblems
This Course (Primarily)
Drugs for U.S.
Drugs for DevelopingWorld
InterdisciplinaryProblems
Incentives Design
Drugs for U.S.
Drugs for DevelopingWorld
InterdisciplinaryProblems
Doing Public Policy- Define Goals Understand
Identify Bottlenecks Design a (Hopefully) Elegant Response.
InterdisciplinaryProblems 2
Doing Public Policy- Define Goals Understand
Identify Bottlenecks Design a (Hopefully) Elegant Response.
1. Define GoalsChoose an Objective Function!
InterdisciplinaryProblems 2
Doing Public Policy- Define Goals Understand
Identify Bottlenecks Design a (Hopefully) Elegant Response.
2. UnderstandTake Theory Seriously
- “Pharma doesn’t want to prevent diseases, selling drugs is more lucrative.”
- “Prizes are only paid if you get a drug.”
*Making Contact Between Theory and Evidence
InterdisciplinaryProblems 2
Doing Public Policy- Define Goals Understand
Identify Bottlenecks Design a (Hopefully) Elegant Response.
3. Identify Bottlenecks- What are the Main Innovation Challenges?
- The Innovation Toolbox
InterdisciplinaryProblems 2
Doing Public Policy- Define Goals Understand
Identify Bottlenecks Design a (Hopefully) Elegant Response.
4. Design a Response
- “No dominant incentive mechanism”
- What are the Main Innovation Challenges?
- The Innovation Toolbox
InterdisciplinaryProblems 2
A Concrete Example:Prizes vs. PPPs
PrizesHow Big Should the Prize Be?$800m ± $115m
PPPsPicking WinnersManaging Outsourced R&DGetting the Best Ideas
… And Also Patents? Access Pricing
Innovation Economics
Efficient Procurement(Getting a Good Price) Usually: Efficiency: How intense do we want
R&D effort to be?Here: Limited Budget: How much will it
cost?
Information Asymmetry/Agency Problems(Managing Outsourced R&D)Managers Don’t Know EverythingResearchers May Have Diverging Goals
Recurring Themes
Innovation Economics, ctd…
Eliciting Information(Getting Good Ideas)Good Ideas are (Often) Widely DistributedCounterexamples
A prizes for reduced DALYs?A prize for optimized drug
compounds?
Efficient AccessPatentsPrices matter!
Recurring Themes
“It’s a Great Idea, But Government Will Never Listen”
A Lawyer’s Faith
Comment
Lecture Topic Speaker
Week 1 Introduction AK, SMJan. 13-15
Defining The Goals:
Week 2 Disease Burdens Kirk Smith, Julia Jan. 20-22 R&D Priorities Walsh
Week 3A The Drug Discovery David RidleyJan. 27 Business
Week 3B, Drug Development Jim McKerrow4A Science; The Neglected Solomon NwakaJan. 29- Disease Pipeline
Roadmap
Lecture Topic Speaker
Week Innovation Economics SM, AK4B – 5BFeb. 5-12
Leading Proposals:
Week 6A Price Discrimination and Keith MaskusFeb. 17 Patent Pools
Week 6B Financing Proposals Saul WalkerFeb. 19
Week 7A Prizes Aidan Hollis
Roadmap
Lecture Topic Speaker
Week 7B Funding Clinical Trials Dean BakerFeb. 26
Week 8A Advanced Market Michael KremerMar. 3 Commitments
Mar. 6 Critical Evaluations Due
Week 9A Private Public Suerie MoonMar. 10 Partnerships
Week 9B Regulatory Approval David Kessler
Roadmap
Lecture Topic Speaker
Week 10B Political Economy Richard WilderMar. 17-19 James Love
Week 11-12 Incentive Design Choices SM, Brian Wright,Mar. 31- Economists Roundtable Suzanne ScotchmerApr. 9
Week 13 Delivering Healthcare Julia WalshApr. 14-16 Ndola Prata
Week 14 Student Papers; --Apr. 20-21 Concluding Remarks
Roadmap
Class Participation (25%)Wiki(In Class Discussion)Lecture Reporter
Midterm ProjectCritique an Existing Initiative (25%)Self-assemble
Final ProjectWhite Paper (50%)Groups of 4-6 studentsIdeal: Self-assemble!
Logistics
Home Page: http://gspp.berkeley.edu/iths/RDStrategies/Home.htm
Wiki: https://bspace.berkeley.edu/portal
