The Indicator from Planet Money What happens when billions of dollars in research funding goes away
56 snips
Feb 20, 2025 Explore the aftermath of substantial NIH funding cuts on the biomedical research landscape. Discover how cities like Birmingham shifted economies from steel to health research, only to face uncertainty. Hear about the struggles of institutions like Duke University to adapt to these financial losses. Dive into the complexities of funding dynamics, including controversial policy changes that threaten life-saving advancements. The stakes are high as job losses loom and the future of essential medical breakthroughs hangs in the balance.
AI Snips
Chapters
Transcript
Episode notes
Birmingham's Economic Transformation
- Birmingham, Alabama, transitioned from a steel-based economy to a biomedical research hub, largely due to NIH funding.
- The University of Alabama at Birmingham (UAB) is the state's largest employer, highlighting the impact of research funding.
Direct vs. Indirect Costs
- NIH grants include direct costs (research materials, salaries) and indirect costs (facilities, administration).
- Universities negotiate indirect cost rates with NIH, often around 60%, which the Trump administration deemed excessive.
NIH Funding Cuts and Legal Challenges
- The Trump administration aimed to cut NIH indirect cost rates to 15% across the board, impacting existing grants.
- Multiple states sued, and a federal judge temporarily blocked the order, demonstrating the widespread opposition.