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Title: The Economics of Crisis Innovation Policy: A Historical Perspective
Since the beginning of the COVID-19 pandemic, policymakers, researchers, and journalists have made comparisons to World War II. In 1940, a group of top US science administrators organized a major coordinated research effort to support the Allied war effort, including significant investments in medical research that yielded innovations like mass-produced penicillin, antimalarials, and a flu vaccine. We draw on this episode to discuss the economics of crisis innovation. Since the objectives of crisis R&D are different than ordinary R&D, we argue that appropriate R&D policy in a crisis requires going beyond the standard Nelson-Arrow framework for research policy.  more » « less
Award ID(s):
1951470
PAR ID:
10231436
Author(s) / Creator(s):
;
Date Published:
Journal Name:
AEA Papers and Proceedings
Volume:
111
ISSN:
2574-0768
Page Range / eLocation ID:
346 to 350
Format(s):
Medium: X
Sponsoring Org:
National Science Foundation
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