Patents and the direction of R&D: are there 'missing' cancer drugs?

Myron Scholes Global Markets Forum

October 30, 2013, 5:30–7 p.m., Gleacher Center

Professor Eric Budish discussed his work with coauthors Heidi Williams and Ben Roin on patents and cancer R&D. They are arguing that the current patent system distorts R&D away from projects that take a long time to bring to market and toward projects that are quick to market—in the context of cancer R&D, where time to market is dictated by the length of FDA clinical trials, this manifests as a distortion away from R&D on cancer prevention and treatment of early-stage disease (which have long clinical trials), and toward R&D on treatment of late-stage disease (which have shorter trials).

The Myron Scholes Global Markets Forum is part of the Initiative on Global Markets (IGM) and is generously sponsored by Myron Scholes.

Speaker Profiles

Eric Budish researches auction and matching markets. More broadly, he is interested in the design of market institutions. His most recent work concerns the design of markets that allocate schedules of courses to students, or schedules of shifts to workers. Other past and ongoing research projects relate to the design of internet auctions, school choice procedures, markets for event tickets, business-to-business platforms, markets for innovation, and financial exchanges. Two theoretical topics of current interest are the use of randomness in market design, and notions of approximate incentives for truth telling in markets.

Budish teaches an MBA elective course on competitive strategy, and a PhD topics course on market design.

Budish received his PhD in business economics from Harvard University before joining Chicago Booth in 2009. He received a BA in economics and philosophy from Amherst College and an MPhil in economics from Oxford (Nuffield College), where he was a Marshall Scholar. Prior to graduate school, Budish worked at Goldman Sachs as an analyst in the Mergers and Acquisitions group.