Can Financial Economics Cure Cancer?
Name
s11293-021-09704-7.pdf
Description
Published version
Size
932.76 KB
Format
Adobe PDF
Checksum (MD5)
7762414c624b3d27c9b73751dd9d7b88
Author(s)
Lo, Andrew W
Date Issued
2021
Journal
Atlantic Economic Journal
Publisher
Springer Science and Business Media LLC
Citation
Lo, Andrew W. 2021. "Can Financial Economics Cure Cancer?." Atlantic Economic Journal, 49 (1).
Version
Final published version
Abstract
AbstractFunding for early-stage biomedical innovation has become more difficult to secure at the same time that medical breakthroughs seem to be occurring at ever increasing rates. One explanation for this counterintuitive trend is that increasing scientific knowledge can actually lead to greater economic risk for investors in the life sciences. While the Human Genome Project, high-throughput screening, genetic biomarkers, immunotherapies, and gene therapies have made a tremendously positive impact on biomedical research and, consequently, patient lives, they have also increased the cost and complexity of the drug development process, causing many investors to shift their assets to more attractive investment opportunities. This suggests that new business models and financing strategies can be used to reduce the risk and increase the attractiveness of biomedical innovation so as to bring new and better therapies to patients faster.
MIT Department
Sloan School of Management
Terms of Use
Creative Commons Attribution 4.0 International license
Persistent DSpace Link
DOI of Published Version
https://doi.org/10.1007/S11293-021-09704-7
