nep-ppm New Economics Papers
on Project, Program and Portfolio Management
Issue of 2020‒11‒30
six papers chosen by
Arvi Kuura
Tartu Ülikool

  1. Government as the First Investor in Biopharmaceutical Innovation: Evidence From New Drug Approvals 2010 - 2019 By Ekaterina Galkina Cleary; Matthew J. Jackson; Fred D. Ledley
  3. Implementation and Impacts of the Substantial Gainful Activity Project Demonstration in Kentucky By Frank Martin; Purvi Sevak
  4. Facing transition phase two: Analysing actor strategies in a stagnating acceleration phase By Löhr, Meike; Mattes, Jannika
  5. The Role of Collaboration Networks for Innovation in Immigrant-Owned New Technology-Based Firms By Scandura, Alessandra; Bolzani, Daniela
  6. Greater Cohesion In An Increasingly Fractured World: Where Now For The European Project?: Report on the EUROFRAME 2019 Conference By Catherine Mathieu; Henri Sterdyniak

  1. By: Ekaterina Galkina Cleary (Bentley Univeristy); Matthew J. Jackson (Bentley University); Fred D. Ledley (Bentley University)
    Abstract: The discovery and development of new medicines classically involves a linear process of basic biomedical research to uncover potential targets for drug action, followed by applied, or translational, research to identify candidate products and establish their effectiveness and safety. This Working Paper describes the public sector contribution to that process by tracing funding from the National Institutes of Health (NIH) related to published research on each of the 356 new drugs approved by the U.S. Food and Drug Administration from 2010-2019 as well as research on their 219 biological targets. Specifically, we describe the timelines of clinical development for these products and proxy measures of their importance, including designations as first-in-class or expedited approvals. We model the maturation of basic research on the biological targets to determine the initiation and established points of this research and demonstrate that none of these products were approved before this enabling research passed the established point. This body of essential research comprised 2 million publications, of which 424 thousand were supported by 515 thousand Funding Years of NIH Project support totaling $195 billion. Research on the 356 drugs comprised 244 thousand publications, of which 39 thousand were supported by 64 thousand Funding Years of NIH Project support totaling $36 billion. Overall, NIH funding contributed to research associated with every new drug approved from 2010-2019, totaling $230 billion. This funding supported investigator-initiated Research Projects, Cooperative Agreements for government-led research on topics of particular importance, as well as Research Program Projects and Centers and training to support the research infrastructure. This NIH funding also produced 22 thousand patents, which provided marketing exclusivity for 27 (8.6%) of the drugs approved 2010-2019. These data demonstrate the essential role of public sector-funded basic research in drug discovery and development, as well as the scale and character of this funding. It also demonstrates the limited mechanisms available for recognizing the value created by these early investments and ensuring appropriate public returns. This analysis demonstrates the importance of sustained public investment in basic biomedical science as well as the need for policy innovations that fully realize the value of public sector investments in pharmaceutical innovation that ensure that these investments yield meaningful improvements in health.
    Keywords: innovation, basic research, translational science, technology transfer, NIH funding, Bayh-Dole, public policy, federal funding.
    JEL: G35 H1 H4 H5 L2 O3
    Date: 2020–08–05
  2. By: Edwards, Alexandria (The Johns Hopkins Institute for Applied Economics, Global Health, and the Study of Business Enterprise)
    Abstract: In recent years, there has been a sharp growth in both the magnitude and frequency of major infrastructure investments worldwide. Despite this boom in infrastructure spending, major projects continue to systematically underperform, as demonstrated in numerous empirical studies. In this paper, the author will discuss the factors underlying this growth in public spending, evaluate the empirical evidence on project cost overruns, and discuss the broader macroeconomic implications of this phenomenon.
    Date: 2020–06
  3. By: Frank Martin; Purvi Sevak
    Abstract: Kentucky’s state vocational rehabilitation agency participated in the Substantial Gainful Activity (SGA) project, an intervention designed to increase the earnings of Social Security Disability Insurance beneficiaries. This article describes Kentucky’s implementation experience and program outcomes.
    Keywords: Social Security Disability Insurance, Vocational Rehabilitation, Substantial Gainful Activity, employment, disability
  4. By: Löhr, Meike (Carl von Ossietzky University); Mattes, Jannika (Carl von Ossietzky University)
    Abstract: Energy transition processes are currently entering into a new phase which is characterised by the maturation of renewable energy technologies and the challenges of system integration and regulatory changes, in particular the introduction of tender schemes for onshore wind energy. In the German wind energy sector, these policy changes are resulting in a drop in build-out during a phase in which acceleration instead of stagnation would be expected. Furthermore, insolvencies, dismissals and relocations are taking place among major wind actors and are increasing uncertainty within the sector. This paper analyses how actors in the wind sector are reacting to the introduction of the tender scheme and how their strategic activities are affecting the transition process. To this end, we analyse four strategies: relocation, cooperation, business field diversification and exit. Specifically, we analyse the reactions of project developers, turbine manufacturers, energy utilities and banks. We show that the strategies chosen by crucial wind energy actors may actually be slowing down the transition process rather than accelerating it. We argue that adopting an actor strategy perspective enables new insights for sustainability transition research while at the same time highlighting implications for public policy and strategic management.
    Keywords: energy transition; sustainability transitions; actor strategies; acceleration; onshore wind; transition phase
    JEL: O23 O33 Q01
    Date: 2020–11–16
  5. By: Scandura, Alessandra; Bolzani, Daniela (University of Turin)
    Abstract: This paper investigates the importance of the network of collaborations with other firms, research institutions, and business associations as key drivers of innovation, providing a comparison between immigrant-owned firms and non-immigrant-owned firms. We hypothesise that the network of collaboration is more important for innovative activities of immigrant entrepreneurs than for natives, due to their migrant condition, and that immigrant entrepreneurs’ acculturation to the host country culture moderates the influence of such network. We test our hypotheses on a unique matched-pair sample of immigrant and native domestic entrepreneurs active in high-tech mainstream (non-ethnic) markets. Our results show that universities and research institutions along with business associations are more important for immigrant-owned companies; we further show that immigrant entrepreneurs’ acculturation to the host country culture acts as a substitute for interactions with business associations. These findings are highly relevant for the academic and policy discourses on the link between immigrant entrepreneurship and innovation in developed countries.
    Date: 2020–10
  6. By: Catherine Mathieu (Observatoire français des conjonctures économiques); Henri Sterdyniak (Observatoire français des conjonctures économiques)
    Abstract: “Greater cohesion in an increasingly fractured world: Where now for the European project?”. This was the theme of the 16th EUROFRAME Conference on economic policy issues in the European Union, which was held on 7 June 2019 in Dublin. EUROFRAME is a network of European economic institutes that includes: DIW Berlin and IfW Kiel (Germany), WIFO (Austria), ETLA (Finland), OFCE (France), ESRI (Ireland), PROMETEIA (Italy), CPB (Netherlands), CASE (Poland) and the NIESR (United Kingdom). Since 2004, EUROFRAME has organized an annual conference on an important subject for Europe’s economies. In 2019, 27 researchers made presentations, most of which are available on the conference website. This article provides a summary of the work presented and discussed during the conference.
    Keywords: European Project; Economic policy issues; Conference
    Date: 2020–09

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