CA: Study casts doubt on stem-cell research windfall

Mercury News ^ | 8/23/05 | Steve Johnson

[NormsRevenge]

Although the state's $3 billion stem-cell research institute could help companies such as VistaGen Therapeutics of Burlingame find new cures for a range of health problems, it won't bolster California's coffers the way its backers had promised, a new study has concluded.

Many claims supporting last year's passage of Proposition 71, which launched the research effort, ``are based on unrealistic assumptions about the potential economic impact,'' according to the study unveiled Tuesday by the California Council on Science and Technology. ``Some statements about these returns verge on hyperbole.''

The report by the non-profit advisory group, which was created by the Legislature, said the stem-cell effort would help the state's economy by creating jobs, luring businesses to California, generating tax revenues from new stem-cell products and improving public health.

But insisting on a share of the profits from companies that get the state's stem-cell grants would likely backfire, by discouraging businesses from participating, the report said.

That warning was reiterated by H. Ralph Snodgrass, chief executive of VistaGen, which was founded in 1998 and was one of two Bay Area stem-cell companies toured Tuesday by Congressman Tom Lantos, D-San Mateo.

[NormsRevenge]

Petitions ARE Available NOW!!!

Click the badge below FoR more info

[calcowgirl]

>>>...won't bolster California's coffers the way its backers had promised...

You mean we the politicians lied to us? We were ripped off? I'm shocked!

[Torie]

Too bad there isn't a way to short California's investment. That would be a real money maker.

[BlueDragon]

``Some statements about these returns verge on hyperbole.''

Some? SOME? ANd the stooop-ed electorate of California swallowed it nearly whole! I'm surrounded by idiots!

[Wooly]

In October of 2004, Steve Milloy (Junkscience.com) warned all that could read, Prop 71 would only make it's authors rich and not bring in any cures. If you remember the ads and the pinko Professor (Irv Wasserman) that was in them, he is one who stands to make millions off of this. Before Prop 71 his stock in a bio company (Stemcells Inc.) that will directly benefit from this was at less than $1.50 a share, it closed on Aug 23rd at $5.46 per share.
And he is not the only one of these so called dedicated people lining their pockets.

http://www.lifeissues.net/writers/irv/irv_99conflictofinterest.html

[calcowgirl]

I assume they mean statements like these?
(Spoken like the good Kennedy leftist attorney that he is).

http://www.yeson71.com/news_rel_0618.php

June 18, 2004

"This initiative makes good economic sense," noted George Kieffer, Chair of the Board of Directors of the LA Area Chamber. "The entire Southern California region is poised to benefit substantially from this measure, given our standing as a hub for top medical and research institutions. With more than 125,000 people employed in biomedical careers in Southern California , earning more than $6.4 billion in wages and salaries and producing exports totaling more than $3.7 billion in 2000, passage of this measure will generate even more economic strength to the region."

[calcowgirl]

I assume you mean Irving Weissman? I'm shocked! He's already selling shares:

http://finance.yahoo.com/q/it?s=STEM

24-May-05 WEISSMAN, IRVING Director
61,468 Direct Disposition (Non Open Market) at $4.02 per share. $247,101