Pharmaceutical Innovation and Access to Medicines
This report reviews the important role of medicines in health systems, describes recent
trends in pharmaceutical expenditure and financing, and summarises the approaches
used by OECD countries to determine coverage and pricing. It then highlights current
issues for policy makers, such as the increasing prices of new medicines; concerns
about the value of spending in some therapeutic areas; challenges in anticipating
the arrival of very effective medicines for highly prevalent diseases; sharp price
increases in off-patent products; and the apparent misalignment of current incentives
for the development of treatments for certain conditions. The report also describes
the role of the biopharmaceutical industry in OECD economies, examines the process
of pharmaceutical R&D and its financing, and looks at the risks, costs and return
from R&D investment for the industry. Examining trends in the industry over time,
it shows that productivity of R&D expenditure has declined; that the duration of market
exclusivity has remained relatively stable; that new medicines are increasingly being
developed for small patient populations; and that the industry as a whole has remained
highly profitable for investors. Lastly, the report presents a range of policy options
for consideration by policy makers, to support the development of effective and co-ordinated
responses to the identified challenges.
Published on November 29, 2018
In series:OECD Health Policy Studiesview more titles