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David Brancaccio
Hey, it's Marketplace Morning Report host David Brancaccio. When things change quickly and dramatically, Marketplace is here to help you stay grounded and informed. No sensationalism, just facts and context. It's our March fundraiser, though, and you can be part of our mission to raise the country's economic intelligence when you donate to our nonprofit newsroom today. Every single donation makes a difference. We need you. Go to marketplace.org donate money is not always in our genetic code. I'm David Brancaccio in Los Angeles. The home genetic testing company 23andMe has filed for protection from its creditors. It hopes to sell itself and keep operating. There's a lot of very personal Data in there. Marketplace's Nancy Marshall Genzer has details.
Nancy Marshall Genzer
23Andme is filing for Chapter 11 bankruptcy. This type of bankruptcy allows a company to reorganize and keep going without being liquidated. 23andMe uses saliva from its customers to test their DNA. It says the tests show whether clients are prone to various diseases, including cancer and Alzheimer's. In a statement, the company says it filed for bankruptcy to facilitate a sale process and intends to keep operating, adding that it's, quote, committed to continuing to safeguard customer Data. Last year, 23andMe settled a lawsuit alleging it didn't adequately protect that information. Millions of its clients data was stolen by hackers. In a post on X, CEO Ann Wojcicki says she's resigning and intends to submit a bid to buy the company. I'm Nancy Marshall Genser for Marketplace.
David Brancaccio
A headline in the Wall Street Journal suggesting President Trump could delay tariffs on cars, trucks, microchips and some other goods is boosting the mood of stock investors. This morning. The Journal says auto companies and some other sectors will not get the tariffs on April 2nd at least budget cuts and warnings of cuts to come are forcing big universities to make deep cuts of their own. This even as some budget slashing is running into court challeng when it comes to medical research, universities plan years in advance. Marketplace's NovaSafo now on how financial uncertainty is affecting one research lab at Duke University in North Carolina.
Nova Safo
Research that started 30 years ago at Donald McDonnell's laboratory at Duke University led to a new drug in 2023 to treat metastatic breast cancer. Now he has a second drug in clinical trials.
Donald McDonnell
Both of those drugs, let me just say, were drugs that industry passed on years and years ago for other indications. And they were a rediscover by really inquisitive, bright graduate students.
Nova Safo
McDonald's lap depends on a handful of those students funded in part through the school and in part through grants. Right now, with all the uncertainty around federal funding, McDonnell is facing an unprecedented challenge.
Donald McDonnell
This is the time of year when students elect to work with various professors and I personally am scrambling right now to take four incredible students who want to work with me to develop a new drug we have for prostate cancer and I can't find funding.
Nova Safo
He needs $70,000 per student per year. Similar scenes are playing out across the country. Academics say at minimum, the Trump administration is slow walking approvals of medical research grants. Also, the threat of drastically reducing reimbursement for researchers, so called indirect costs, things like electricity supplies, has left many unsure about what money their labs will actually have to spend.
Colin Duckett
We're doing a lot of tabletop exercises, a lot of strategic planning exercises with different scenarios.
Nova Safo
Colin Duckett, executive vice dean for basic and preclinical science at Duke, says those scenarios could mean broader school wide budget cuts to come. Dozens of other universities have already publicly announced such cuts because of the disruptions coming from the federal government.
Colin Duckett
I came here 35 years ago from England because this is the best place in the world to do science. And it is really sad for me to wonder whether the US Is the best place to do science. It's almost inconceivable.
Laurel Harbridge Young
There is a lot of worry, there is a lot of frustration. There is a lot of anxiety.
Nova Safo
Laurel Harbridge Young is a political science professor at Northwestern University. Her own research grants are unaffected, but she's been having a lot of conversations across academia and says graduate students in particular are concerned about their futures. That's because of the challenges professors like McDonnell are having in finding grants. Existing private funds can't make up the difference for the federal government's vast financial powers.
Laurel Harbridge Young
If this grant money dramatically decreases or goes away in some fields, we can't sustain to bring in the graduate students. That means these early career researchers. We don't get to be trained to become world class researchers and scientists and we're going to lose that whole pipeline of expertise and knowledge.
Nova Safo
A loss, academics say, which could take a decade or more to reverse. I'm Nova Safo for Marketplace.
Henry Epp
If you want to be savvy about the economy, the Marketplace newsletter is just what you need. Every Friday you'll get explainers and analysis that make sense of everything from the moving markets to grocery prices. No jargon, no hype, just smart takes delivered to your inbox. Sign up today@marketplace.org subscribe.
David Brancaccio
It makes sense to pay for a new car in installments, but what about paying later for two slices of moussaka, a large Greek salad and some baklava. The payment company Klarna is partnering with the delivery service DoorDash in buy now Pay later loans for doordash purchases. Also in these deliveries come convenience and some risk. Here's Marketplace's Henry Epp.
Joanna Stavens
One of the most popular Buy Now Pay later methods is known as Pay in four. Basically, when you buy a new pair of pants or soon a delivered burrito, you pay one installment upfront and three more every two weeks, explains Joanna Stavens at the Boston Fed.
Colin Duckett
So it's a sort of six week.
Nova Safo
Short term credit interest free.
Joanna Stavens
But if you're late on payments, fees can eventually rack up, Stevens says. Buy Now Pay later users tend to have less money in the bank and.
Colin Duckett
They already carry credit card debt, so they are what I call financially fragile.
Joanna Stavens
There's extra risk, says Nadine Chabrier at the center for Responsible Lending, because unlike getting approved for a credit card, there's no requirement for a binocular to assess whether you have an ability to repay the loan. That may lead to consumers taking out unaffordable amounts of debt. And a delivered DoorDash meal often comes with fees already, says Lisa Gill at Consumer Reports. So someone who uses Buy Now Pay later for their order is financing service.
Colin Duckett
Fees, delivery fees, gratuity fees and any.
David Brancaccio
Other service charges over a month's time.
Joanna Stavens
And they're just trying to get a.
Nancy Marshall Genzer
$10 bowl for lunch or burrito for lunch.
Joanna Stavens
You could, she says, order directly from the restaurant and cut out the middlemen. I'm Henry MEPP for Marketplace.
David Brancaccio
There's a $35 minimum on installment purchases for DoorDash. So no, you can't eat now pay later on one burger unless it's like Japanese wagyu beef and the truffle fries. In Los Angeles, I'm David Brancaccio. It's the Marketplace morning Report from 8pm American Public Media.
Janelie Espinal
Consumer confidence had its sharpest monthly decline since 2021, which means we're all in our feels about money. And while uncertainty is the only constant these days, it's also a great reason to get serious about understanding personal finance. I'm Janelie Espinal, host of Financially Inclined, a podcast from Marketplace that makes learning about money simple. Learn about practical skills like negotiating job offers, dealing with money and friendship and love, entrepreneurship and student loans. Get serious about your money and build a life you've always dreamed of. Listen to Financially Inclined wherever you get your podcasts.
Episode Title: How government funding cuts are affecting cancer research at Duke
Host: David Brancaccio
Release Date: March 24, 2025
In this episode of Marketplace Morning Report, host David Brancaccio delves into the profound effects of government funding cuts on cancer research, focusing specifically on the challenges faced by Duke University’s renowned research laboratories.
The episode opens with a discussion about the illustrious history of cancer research at Duke University. David Brancaccio introduces the topic by highlighting the significant advancements made over the past three decades.
Nova Safo:
“Research that started 30 years ago at Donald McDonnell's laboratory at Duke University led to a new drug in 2023 to treat metastatic breast cancer. Now he has a second drug in clinical trials.” ([02:16])
Donald McDonnell:
“Both of those drugs, let me just say, were drugs that industry passed on years and years ago for other indications. And they were a rediscover by really inquisitive, bright graduate students.” ([02:29])
These remarks underscore the innovative environment fostered by Professor McDonnell, where curiosity-driven research by graduate students has led to breakthroughs in cancer treatment.
The heart of the episode centers on the financial instability threatening Duke’s cancer research labs due to impending government funding cuts.
Nova Safo:
“McDonald's lap depends on a handful of those students funded in part through the school and in part through grants. Right now, with all the uncertainty around federal funding, McDonnell is facing an unprecedented challenge.” ([02:39])
Professor McDonnell elaborates on the immediate repercussions of these funding issues:
Donald McDonnell:
“This is the time of year when students elect to work with various professors and I personally am scrambling right now to take four incredible students who want to work with me to develop a new drug we have for prostate cancer and I can't find funding.” ([02:52])
The necessity for $70,000 per student annually highlights the significant financial demands placed on research programs.
The discussion broadens to encompass the wider academic landscape, where uncertainty in federal funding is prompting strategic planning to mitigate the impact of potential budget reductions.
Colin Duckett, Executive Vice Dean for Basic and Preclinical Science at Duke:
“We're doing a lot of tabletop exercises, a lot of strategic planning exercises with different scenarios.” ([03:33])
These exercises involve preparing for various funding scenarios, which could result in broad-based cuts across the university.
Duckett expresses deep concern over the future of scientific research in the United States:
Colin Duckett:
“I came here 35 years ago from England because this is the best place in the world to do science. And it is really sad for me to wonder whether the US Is the best place to do science. It's almost inconceivable.” ([03:56])
His sentiments reflect a growing anxiety within the academic community about maintaining the U.S.'s leadership in scientific innovation.
The episode also highlights the personal and professional repercussions for graduate students and early-career researchers.
Laurel Harbridge Young, Political Science Professor at Northwestern University:
“If this grant money dramatically decreases or goes away in some fields, we can't sustain to bring in the graduate students. That means these early career researchers. We don't get to be trained to become world class researchers and scientists and we're going to lose that whole pipeline of expertise and knowledge.” ([04:43])
These comments emphasize the long-term consequences of funding cuts, which extend beyond immediate financial strains to threaten the development of future scientific leaders.
Nova Safo:
“A loss, academics say, which could take a decade or more to reverse.” ([05:02])
This statement encapsulates the potential for enduring setbacks in scientific research and innovation resulting from current funding challenges.
The episode concludes by framing the funding cuts as a critical issue that could undermine the United States' standing in global scientific research. The insights from Duke’s faculty and the implications for the broader academic community serve as a compelling call to action for policymakers and stakeholders to address and mitigate these financial challenges.
Attribution:
This summary is based on the March 24, 2025 episode of Marketplace Morning Report hosted by David Brancaccio, as transcribed and provided by the user.