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PharmacoEconomics

, Volume 22, Supplement 2, pp 15–24 | Cite as

Are the economics of pharmaceutical research and development changing?

Productivity, patents and political pressures
  • Henry Grabowski
Review Article

Abstract

Pharmaceutical research and development (R&D) competition in the 1980s and 1990s was characterised by rising R&D expenditures, favourable returns to innovators and the introduction of many new classes of drugs with high social benefits. However, in the past 3 years, the number of new drug introductions has been well below the historical trend, while the cost per new drug continues to increase. In addition to lagging R&D productivity, the industry has been characterised by other economic and policy uncertainties. These include a wave of early patent challenges and growing political pressure to contain pharmaceutical expenditures. This paper examines the consequences of these developments.

Keywords

Patent Protection Branded Product Prior Authorisation Generic Firm Drug Introduction 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Adis Data Information BV 2004

Authors and Affiliations

  1. 1.Department of EconomicsDuke UniversityDurhamUSA

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