Types of Research
This research considers how public good characteristics of different types of research and development (R&D) and the motivations of different providers of R&D funding affect the relative advantages of alternative funding sources. We summarize the public good characteristics of R&D for agriculture in general and for commodity and subsistence crops in particular, as well as R&D for health in general and for neglected diseases in particular, with a focus on Sub-Saharan Africa and South Asia. Finally, we present rationales for which funders are predicted to fund which R&D types based on these funder and R&D characteristics. We then compile available statistics on funding for agricultural and health R&D from private, public and philanthropic sources, and compare trends in funding from these sources against expectations. We find private agricultural R&D spending focuses on commodity crops (as expected). However contrary to expectations we find public and philanthropic spending also goes largely towards these same crops rather than staples not targeted by private funds. For health R&D private funders similarly concentrate on diseases with higher potential financial returns. However unlike in agricultural R&D, in health R&D we observe some specialization across funders – especially for neglected diseases R&D - consistent with funders’ expected relative advantages.
This report presents data on selected agricultural commodities for the fourth quarter of 2009 (October through December 2009) and the months of January and February 2010, where available. More specifically, this report provides a summary of recent changes and trends in prices, demand, supply, and market conditions for key agricultural commodities. We find that agricultural commodity prices declined significantly in 2009 from peak 2008 levels. At the end of 2009, however, commodity prices began to rebound, which contributed to concerns over a possible return to high prices. In January and February, gains in the value of the U.S. Dollar helped keep agricultural commodity prices subdued.