There is no doubt that people are having a hard time all around due to the recession that has gripped the nation. Every area has been affected in some capacity, although not always with equal ferocity. Still, what some term the “Great Recession” has few industries untouched, not the least of which includes large segments of the medical research industry. How have medical research endeavors been impacted by the recession?
The fact is that the causes may vary depending on each facility and the different resources that they were depend on before the recession hit hard. The first significant damage inflicted on medical funding came back in 2008 when it became clear that the National Institutes of Health started struggling to maintain their financial grip amid the failing banks and the bailout of Wall Street. As the single largest source of funding for biomedical research, the NIH had been poised to expand and was bolstered the bold activities of a host of exceptional young scientists and researchers across the country.
Like so many other sectors of the economy during the late 1990s and the early eras of the 21st century were characterized by big spending and expansion, but the then bottom dropped out very soundly after 2004 – and the NIH budget among others remained on a steady decline. Problems with research funding have been further compromised by the damage done to the other areas of the economy. Research that was finally getting on track to tackle Alzheimer’s, cancer, and infectious diseases were totally derailed by the process. Where it was not severely reduced, funding dried up entirely in some quarters. The loss of NIH funding has seriously affected work at research institutions, hospitals, and universities alike.
It is unfortunate but true that when the federal budget is being strained, budgets at the state level are almost strangled to death. The result is that state research institutions, hospitals, and universities will all be faced with shrinking funds or downsizing of operations.
Voluntary health organizations, another resource for scientific advancement and medical research, have also faced some serious setbacks because of the Great Recession. Funded primarily by grants, donations, and other fundraising activities, they have seen dramatic reductions in these numbers. Individuals and other organizations have less money available to donate or authorize grants. This halted research back in 2008 for diseases like stroke, heart disease, diabetes, and other chronic illnesses that have still not totally recovered.
Naturally, pharmaceutical, biotech, and device manufacturers have been affected like other areas of medical research by the economic recession. Additionally, the researchers and staff members themselves are being affected. With less money available for research projects, many facilities have simply started letting people go. Unemployment is no surprise during economic down turn. It is still a sad loss when so much could be gained by continue research.
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