With health-care reform proposals threatening financial prospects, firms are shelving projects laying off researchers
The biotech industry is marshaling its forces for what many of its executives view as the political fight of its life.

Financial analysts and other observers agree with the executives, saying that the industry faces financial threats posed by various mechanisms in President Clinton's health plan designed to influence drug pricing. These observers warn that such mechanisms, if legislated, would result not only in the loss of promising drugs, but also in significant declines in the biotech work force--thus dealing a major blow to the industry overall. Particularly ominous, they contend, is a Clinton-plan proposal for an advisory council that would evaluate the pricing of certain new drugs. Already, the concerned sources point out, the proposed legislation has prompted reluctance among venture capitalists to risk biotech investments, which, in turn, has forced some biotech firms to...

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