EconPapers    
Economics at your fingertips  
 

Financing Pharmaceutical Innovation: When Should Poor Countries Contribute?

Billy Jack & Jenny Lanjouw ()
Additional contact information
Billy Jack & Jenny Lanjouw: Department of Economics, Georgetown University, http://www9.georgetown.edu/faculty/wgj/

Authors registered in the RePEc Author Service: William Jack and Jean Olson Lanjouw

Working Papers from Georgetown University, Department of Economics

Abstract: We use a public economics framework to consider how pharmaceuticals should be priced when at least some of the R&D incentive comes from sales revenues. We employ familiar techniques of public finance to adjust standard pricing prescriptions in the context of global diseases, in which distributional inequities are extreme. With these adjustments, poor countries should not necessarily cover even their own marginal costs, and the pricing structure is not related to that which would be chosen by a monopolist in a simple way. We use this framework to examine on-going debates regarding the international patent system as embodied in the WTO's TRIPS agreement.

Keywords: Pharmaceutical pricing; Ramsey pricing; TRIPS (search for similar items in EconPapers)
JEL-codes: D6 H2 I1 O1 (search for similar items in EconPapers)
Date: 2003-01-01
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www8.georgetown.edu/departments/economics/pdf/315.pdf Full text (application/pdf)
None

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:geo:guwopa:gueconwpa~03-03-15

Ordering information: This working paper can be ordered from
Roger Lagunoff Professor of Economics Georgetown University Department of Economics Washington, DC 20057-1036
http://econ.georgetown.edu/

Access Statistics for this paper

More papers in Working Papers from Georgetown University, Department of Economics Georgetown University Department of Economics Washington, DC 20057-1036.
Bibliographic data for series maintained by Marcia Suss ().

 
Page updated 2020-04-05
Handle: RePEc:geo:guwopa:gueconwpa~03-03-15