?url_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Adc&rft.relation=http%3A%2F%2Feprints.imtlucca.it%2F1202%2F&rft.title=The+Value+of+Failures+in+Pharmaceutical+R%26D&rft.creator=Chiou%2C+Jing-Yuan&rft.creator=Magazzini%2C+Laura&rft.creator=Pammolli%2C+Fabio&rft.creator=Riccaboni%2C+Massimo&rft.subject=HB+Economic+Theory&rft.subject=RS+Pharmacy+and+materia+medica&rft.description=We+build+a+cumulative+innovation+model+in+which+both+success+and+failure+provide+valuable+information+for+future+research.+To+test+this+learning+mechanism%2C+we+use+a+dataset+covering+outcomes+of+world-wide+R%26D+projects+in+the+pharmaceutical+industry%2C+and+proxy+knowledge+flows+with+forward+citations+received+by+patents+associated+with+each+project.+Empirical+results+confirm+theoretical+predictions+that+patents+associated+with+successfully+completed+projects+(i.e.%2C+leading+to+drug+launch+on+the+market)+receive+more+citations+than+those+associated+to+failed+(terminated)+projects%2C+which+in+turn+are+cited+more+often+than+patents+lacking+clinical+or+preclinical+information.+We+therefore+offer+evidence+of+the+value+of+failures+as+research+inputs+in+(pharmaceutical)+innovation.&rft.publisher=IMT+Institute+for+Advanced+Studies&rft.date=2012-01&rft.type=Working+Paper&rft.type=NonPeerReviewed&rft.format=application%2Fpdf&rft.language=en&rft.identifier=http%3A%2F%2Feprints.imtlucca.it%2F1202%2F1%2FEIC_WP_1_2012.pdf&rft.identifier=++Chiou%2C+Jing-Yuan+and+Magazzini%2C+Laura+and+Pammolli%2C+Fabio+and+Riccaboni%2C+Massimo++The+Value+of+Failures+in+Pharmaceutical+R%26D.++EIC+working+paper+series++%231%2F2012++++IMT+Institute+for+Advanced+Studies++++ISSN+2279-6894.++++++