Economists INK: Fall 2017
This issue discusses the CRISPR patent pool, the estimation of healthcare rates, and the recent district court decision to block the merger of two radioactive waste companies. Dr. Ahn discusses the patent dispute between the University of California at Berkeley and the Broad Institute and its potential impact on the success of the CRISPR patent pool. Dr. Argue discusses how to estimate appropriate payment rates for non-contracted healthcare providers, indicating that an economic framework, such as a benchmark empirical analysis, can provide a principled basis for determining appropriate out-of-network rates. Dr. Mirrow discusses the recent Delaware district court decision blocking the proposed merger of EnergySolutions, Inc. and Waste Control Specialists LLC. The Court’s conclusions affirm the importance of pricing behavior in considering whether two firms compete in the same market and highlight the difficulties in successfully asserting a failing firm defense.