- 20 Jun 2017
Patents, Data Exclusivity, and the Development of News Drugs
20 Jun 2017 - 12:00 pm - 1:00 pm
Pharmaceutical companies are granted a period of market exclusivity in order to recoup their investments in drug development. Patents are an important source of market exclusivity and we argue that the loss of patent rights during the development period negatively affects the incentives to commercialize a drug. Data exclusivity is granted upon the successful development of a drug and is an additional source of market exclusivity. It should therefore mitigate the negative effect of patent invalidation. We test these predictions relying on a novel data set that links the development histories of drug candidates with underlying patent data. Our identiﬁcation strategy is based on a novel instrument that exploits variation in the examiner’s participation in post-grant patent opposition.
Technical University of Munich
TUM School of Management