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Mallory J. Harris, Alyssa H. Sinclair, Clio Andris, Joshua S. Weitz
MedRXiv, 2025 Jul 24
MedRXiv, 2025 Jul 24
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Harris, M. J., Sinclair, A. H., Andris, C., & Weitz, J. S. (2025). Economic loss due to health funding cuts as distributed across geospatial units. MedRXiv. https://doi.org/10.1101/2025.07.24.25332092.
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Harris, Mallory J., Alyssa H. Sinclair, Clio Andris, and Joshua S. Weitz. “Economic Loss Due to Health Funding Cuts as Distributed across Geospatial Units.” MedRXiv (July 24, 2025).
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Harris, Mallory J., et al. “Economic Loss Due to Health Funding Cuts as Distributed across Geospatial Units.” MedRXiv, July 2025, doi:10.1101/2025.07.24.25332092.
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@article{mallory2025a,
title = {Economic loss due to health funding cuts as distributed across geospatial units},
year = {2025},
month = jul,
day = {24},
journal = {MedRXiv},
doi = {10.1101/2025.07.24.25332092.},
author = {Harris, Mallory J. and Sinclair, Alyssa H. and Andris, Clio and Weitz, Joshua S.},
month_numeric = {7}
}
Importance: The National Institutes of Health (NIH) introduced a 15% cap on indirect research costs on February 7, 2025 and the Department of Health and Human Services (HHS) terminated over 2,500 grants as of June 30, 2025. We show that assessing the economic impacts of biomedical research funding cuts on local communities requires accounting for commuting flows.
Objective: To determine the annual economic impact of realized and proposed cuts to NIH research at local levels throughout the United States.
Design: We analyze terminated grants reported to Grant Witness as of June 30, 2025 and indirect cost reductions associated with grant awards documented in NIH RePORTER to identify the extent of realized and proposed cuts to research funding. Using commuter data, we estimate the distribution and magnitude of estimated economic losses across all 3,144 counties in the United States.
Main Outcome(s) and Measure(s): Economic and job losses at the county level resulting from the proposed cap on indirect costs (what we term "future losses") and terminated grants ("current losses").
Results: Nationally, we estimate $8.2 billion in current losses from terminated grants and $16.6 billion in future losses from the proposed indirect cost cap. Every U.S. county would experience some economic loss due to the proposed cap on indirect costs, and losses would exceed $100,000 in 2,136 counties. Losses from terminated grants exceed $100,000 in 1,185 counties. We anticipate that nearly half of losses would be experienced in counties other than those where the affected research institutions are located.
Conclusions and Relevance: This analysis demonstrates that accounting for commuter flows is critical for understanding the impact of realized and proposed cuts to biomedical research funded by NIH. This analysis suggests that biomedical research funding cuts will lead to substantial and widespread economic losses in communities throughout the U.S.
Objective: To determine the annual economic impact of realized and proposed cuts to NIH research at local levels throughout the United States.
Design: We analyze terminated grants reported to Grant Witness as of June 30, 2025 and indirect cost reductions associated with grant awards documented in NIH RePORTER to identify the extent of realized and proposed cuts to research funding. Using commuter data, we estimate the distribution and magnitude of estimated economic losses across all 3,144 counties in the United States.
Main Outcome(s) and Measure(s): Economic and job losses at the county level resulting from the proposed cap on indirect costs (what we term "future losses") and terminated grants ("current losses").
Results: Nationally, we estimate $8.2 billion in current losses from terminated grants and $16.6 billion in future losses from the proposed indirect cost cap. Every U.S. county would experience some economic loss due to the proposed cap on indirect costs, and losses would exceed $100,000 in 2,136 counties. Losses from terminated grants exceed $100,000 in 1,185 counties. We anticipate that nearly half of losses would be experienced in counties other than those where the affected research institutions are located.
Conclusions and Relevance: This analysis demonstrates that accounting for commuter flows is critical for understanding the impact of realized and proposed cuts to biomedical research funded by NIH. This analysis suggests that biomedical research funding cuts will lead to substantial and widespread economic losses in communities throughout the U.S.