Albert Einstein College of Medicine
1300 Morris Park Ave
The Bronx, NY 10461
Institutional Affiliation: Yeshiva University
NBER Working Papers and Publications
|March 2020||The Rise of For-Profit Experimental Medicine|
with : w26892
Beginning around 1990, academic medical centers have ceased to be the primary locus of industry-sponsored clinical trial activity. Instead, clinical trials have increasingly been conducted in private practices and for-profit, dedicated study sites. We examine the underlying causes of this startling evolution. On the demand side, the greater availability of non-academic investigators has enabled pharmaceutical firms to better match physicians' skills with specific projects. On the supply side, we argue that the growth of managed care health insurance has contributed to a rise in the number of non-academic physicians performing clinical research. We find evidence consistent with these claims using a unique data set containing information about 85,919 site contracts for 7,735 clinical trials ...