The pharmaceutical industry is praised as a leader in high technology innovation and the creator of products that increase both longevity and quality of life for people throughout the world. Yet the industry is also reviled for its marketing and pricing practices and even its research and development priorities. Its competitive nature is undergoing change today, with the entry of new firms and products increasing competition at the same time that mergers reduce it.
This book employs the tools of economic analysis to explore the conflicting priorities and aims of the pharmaceutical industry, from both a US and worldwide perspective. Schweitzer discusses the industry both as a manufacturer of products and as a major player in the making of health-care decisions. The author also analyzes the reasons and results of the shift in the locus of demand for pharmaceuticals. Presently the most important factor in formulating the future direction of pharmaceutical research are the demands of the large managed-care organizations rather than individual physicians. HMOs make decisions about product access on behalf of hundreds of thousands of patients. Recent changes in the regulatory environmentincluding patent law and FDA approval policieshave also influenced the pharmaceutical sector and are therefore investigated in detail.
Pharmaceutical Economics and Policy provides an insightful and expert analysis of this complex sector, and suggests appropriate regulatory approaches to assure that both private and public objectives continue to be served. It provides the first comprehensive look at the economics of the pharmaceutical industry in over 25 years. Readable and balanced, it will serve as an authoritative reference source for students and researchers in health services, health administration, health economics and policy, as well as for policy analysts and economists in industry, managed care organizations, and hospitals.
This book is the first in-depth evaluation of the economics of the U.S. and world-wide pharmaceutical industry in more than 25 years. It evaluates the pharmaceutical industry, marketing strategies of the pharmaceutical industry, the demand for pharmaceuticals, the pharmaceutical market, and interventions in the pharmaceutical market, including regulation, patient protection, new drug evaluation, and future health policy. The purpose is to explore conflicting priorities and aims of the pharmaceutical industry. This text, using an economic framework, examines the supply and demand sides of the pharmaceutical market as well as policies that attempt to alter market performance. The audience for this book is broad and will include healthcare professionals and students interested in health economics, health administration, pharmacy administration, and public policy. In addition, individuals working for healthcare regulatory agencies, pharmaceutical industry, health delivery organizations and healthcare insurance providers will find this information valuable. Highlights of the text include an in-depth discussion of pharmaceutical industry research and development practices, pharmaceutical marketing strategies, pharmaceutical pricing strategies, and patient protection issues. This book represents a worthwhile effort in discussing the economics and market forces that shape the pharmaceutical industry in the U.S. and abroad. Although some of the chapters appear to be disjointed from others, each contains useful and relevant information. The discussion of foreign regulatory affairs, foreign drug development, and pharmacoeconomic evaluations of new drugs tend to be less in-depth than otherissues. The book may have faired better if the global perspective were eliminated. Given these relatively minor detractions, the text is a welcome addition to those readers who deal with the pharmaceutical industrial and public policy issues.