Dr. Dennis Byrski

Articles in Refereed Journals

Baruffaldi, Stefano Horst; Byrski, Dennis; Gaessler, Fabian (2020). Fire and Mice: The Effect of Supply Shocks on Basic Science, Academy of Management Proceedings, 2020 (1). DOI

• We study how a negative supply shock to research-related assets affects the production of scientific knowledge. In particular, we exploit the 1989 Morrell Park fire that destroyed a considerable share of the world's largest mice breeding facility, the Jackson Laboratory, and killed approximately 400,000 mice. This fire led to an unforeseen and substantial supply shortage in mice for the North American biomedical research community, which we can isolate at the strain and scientist level based on proprietary archival data. Using difference-in-differences estimations, we find that the scientific productivity of affected scientists decreases when measured in simple publication counts, but much less so when we adjust for the publications' quality. Moreover, affected researchers are more likely to initiate research that is unrelated to their previous work. This indicates that affected scientists switched research trajectories but maintained their scientific impact. In the aggregate, the temporary supply shortage of particular mice strains led to a permanent decrease in their usage among U.S.\ scientists. These results highlight the important role of supply chains in basic science."

Batista, Pedro Henrique D.; Byrski, Dennis; Lamping, Matthias; Romandini, Roberto (2019). IP-Based Incentives Against Antimicrobial Crisis: A European Perspective, IIC - international review of intellectual property and competition law, 50 (1), 30-76. DOI

• The field of antimicrobials is considered to be facing a crisis. Increasing
  microbial resistance is creating a demand for new drugs, which however is not being
  matched by privately funded R&D. The reasons for this market failure are of a
  technical and economic nature. The present article analyzes what changes to IP-
  based incentives are conceivable in the European Union (EU) in order to address the
  antimicrobial crisis. Since the assessment of the suitability of the analyzed options
  depends on interdisciplinary research, this article also proposes a research agenda to
  be considered for the implementation of public policies in this field.

Edited Books, Collected Editions

Romandini, Roberto; Kur, Annette; Walz, Axel; Valtere, Laura; Slowinski, Peter R.; Wright, Gordon; Gaessler, Fabian; Batista, Pedro Henrique D.; Byrski, Dennis; Fischer, Marius; Rivas, Victoria (2018). Study on the legal aspects of Supplementary Protection Certificates in the EU. Final report. Brussel: European Commission. DOI

Contributions to Collected Editions

Gaessler, Fabian; Byrski, Dennis (2018). Section 16.2 - Duration of the SPC (Art. 13 Reg. 469/2009) - Effective length of SPC protection, in: Roberto Romandini, Reto M. Hilty, Annette Kur (eds.), Study on the Legal Aspects of Supplementary Protection Certificates in the EU - Final Report, 378-379. Brussels: European Commission.

Slowinski, Peter R.; Romandini, Roberto; Gaessler, Fabian; Byrski, Dennis (2018). Chapter 16 - Duration of the SPC (Art. 13 Reg. 469/2009), in: Roberto Romandini, Reto M. Hilty, Annette Kur (eds.), Study on the Legal Aspects of Supplementary Protection Certificates in the EU - Final Report, 377-385. Brussels: European Commission.

Byrski, Dennis; Gaessler, Fabian (2018). Annex V - SPC Statistics to Chapter 7, in: Roberto Romandini, Reto M. Hilty, Annette Kur (eds.), Study on the Legal Aspects of Supplementary Protection Certificates in the EU - Final Report, 1-16. Brussels: European Commission.

Romandini, Roberto; Gaessler, Fabian; Byrski, Dennis (2018). Chapter 7 - Overall Use of the SPC System in the EU, in: Roberto Romandini, Reto M. Hilty, Annette Kur (eds.), Study on the Legal Aspects of Supplementary Protection Certificates in the EU - Final Report, 91-105. Brussels: European Commission.

Monographies

Byrski, Dennis (2021). From Scientific Research to Healthcare Markets: Empirical Essays on the Economics of Pharmaceutical Innovation. DOI

• This dissertation offers new insights into the determinants of biomedical science and pharmaceutical innovation, each in a self-contained chapter. The first chapter investigates the functioning of research tool markets, which are important input factors into science. Specifically, it observes why short-term distortions to supply have enduring effects on tool adoption and, thus, the direction of scientific research. The second chapter examines whether pharmaceutical companies adjust their follow-on innovation activities when patentability standards increase. To this end, it analyses changes in the innovation incentives caused by a drug’s marketing authorization. The third chapter explores the relationship between downstream shifts in demand and upstream research. It studies whether a policy-induced increase in market size affects scientific publishing by universities and corporations. In summary, evidence from these micro-economic analyses may contribute to designing effective and efficient public policies that help stimulate R&D activities, foster the development of new pharmaceutical treatments, and eventually improve public health.

Lesch, Hagen; Byrski, Dennis (2016). Flächentarifvertrag und Tarifpartnerschaft in Deutschland: Ein historischer Rückblick (IW-Analysen, 107). Köln: Institut der Deutschen Wirtschaft Köln Medien GmbH.

Discussion Papers

Byrski, Dennis; Wang, Lucy Xiaolu (2024). Marketing Authorization and Strategic Patenting: Evidence from Pharmaceuticals. DOI

• Patents are designed to incentivize innovation, but pharmaceutical firms often extend market exclusivity with secondary patents on marginally beneficial improvements. Such behaviors evoke discussions about raising patentability standards. This study examines whether pharmaceutical firms move away from filing strategic patents once the focal drug gains marketing authorization and the disclosed trial-related information becomes novelty-threatening prior art. We construct novel patent-drug dyadic data and leverage unique European drug patent and marketing contexts. Using an event study methodology, we exploit plausibly exogenous variation in the length of time from patent filing to drug approval. First, we illustrate that drugs with early and late marketing authorization share similar ex ante patent and drug characteristics. Second, we support the hypothesis that strategic patenting behavior decreases substantially after marketing authorization. In contrast, meaningful follow-on innovations remain unaffected. Third, we show that these effects are likely driven by obstacles in the enforceability of marginal patents filed after approval. We analyze heterogeneity across firm type, patent type, disease type, and enforceability. Our results suggest that post-marketing increases in patentability standards are welfare-enhancing with examiner scrutiny and firm self-adjustment. We highlight the importance of better data provision to patent examiners to increase the quality of follow-up inventions.

Byrski, Dennis; Gaessler, Fabian; Higgins, Matthew John (2023). Market Size and Research: Evidence from the Pharmaceutical Industry, NBER Working Paper, No. w28858.

• Prior literature has established a link between changes in market size and pharmaceutical innovation; whether a link exists with scientific research remains an open question. If upstream research is not responsive to these changes, the kinds of scientific discoveries that flow into future drug development could be disconnected from downstream demand. We explore this question by exploiting the effects of quasi-experimental variation in market size introduced by Medicare Part D. We find no causal relationship between market size and biomedical research in the decade following the implementation of Medicare Part D. While many factors have been shown to motivate scientists to conduct research, this result suggests that changes in market size provide no such incentive. We do find, however, limited support for a response by corporate scientists conducting applied research. Implications for pharmaceutical innovation policy are discussed.
• Available at SSRN
• Also published as Max Planck Institute for Innovation & Competition Research Paper No. 21-16

Byrski, Dennis; Gaessler, Fabian; Higgins, Matthew John (2021). Market Size and Research: Evidence from the Pharmaceutical Industry, Max Planck Institute for Innovation & Competition Research Paper, No. 21-16.

• Prior literature has established a link between changes in market size and pharmaceutical innovation; whether a link exists with scientific research remains an open question. If upstream research is not responsive to these changes, the kinds of scientific discoveries that flow into future drug development could be disconnected from downstream demand. We explore this question by exploiting the effects of quasi-experimental variation in market size introduced by Medicare Part D. We find no causal relationship between market size and biomedical research in the decade following the implementation of Medicare Part D. While many factors have been shown to motivate scientists to conduct research, this result suggests that changes in market size provide no such incentive. We do find, however, limited support for a response by corporate scientists conducting applied research. Implications for pharmaceutical innovation policy are discussed.
• Available at SSRN
• Also published as NBER Working Paper No. w28858