An expert committee under the auspices of the Board on Science, Technology, and Economic Policy will assemble and analyze evidence about the role of cash and noncash inducement prizes to spur American innovation. The committee will convene meetings and one public workshop to gather evidence for a consensus report that answers the following questions:

1. Metrics and Effectiveness: Are inducement prizes effective, and how can we measure their effectiveness? What are the appropriate metrics for tracking effectiveness of prizes? For example, for biomedical prizes, are improvements in quality-adjusted life-years or reductions in other federal government expenditures (such as Medicare and Medicaid expenditures) appropriate metrics?

2. Complementarities with other Innovation Policies: How do prizes fit into other federal and nonfederal support for innovation? How can prizes help accelerate the transfer of new technologies into the broader society? Can we identify when inducement prizes may be a better mechanism than grants or contracts?

3. Benefits of Prizes: What are the benefits of holding prize competitions, and are there benefits beyond the technology that is developed? For example, do prizes help play a role in creating communities of interest? Are there other spillover benefits?

4. Cash vs. Noncash Prizes: Are there differences between cash prizes and noncash prizes? How can we take into account the benefits to competitors of noncash awards, such as access to facilities or publicity, in determining effectiveness of prizes compared to other types of government and private support for innovation?

5. Policy Impact: Under what conditions are prizes most effective for the federal government? And how can we measure whether a prize topic is consistent with congressional intent found in the Stevenson-Wydler Act, as amended by the American Innovation and Competitiveness Act of 2017, and the 21st Century Cures Act?

6. Characteristics of Prize Winners: What are the characteristics of prize winners and competitors, and are the demographics different than for other federal or nonfederal funding mechanisms? Further, as the gig economy grows, are prizes more attractive to competitors than other types of funding?

In addition to a consensus report with findings and recommendations, a proceedings of the public workshop presentations and discussions will be prepared by a designated rapporteur in accordance with institutional guidelines.