Advanced Purchase Commitments for a Malaria Vaccine: Estimating Costs and Effectiveness
Ernst R. Berndt,
Rachel Glennerster,
Michael Kremer,
Jean Lee (),
Ruth Levine,
Georg Weizsäcker and
Heidi Williams ()
No 11288, NBER Working Papers from National Bureau of Economic Research, Inc
Abstract:
To overcome the problem of insufficient research and development (R&D) on vaccines for diseases concentrated in low-income countries, sponsors could commit to purchase viable vaccines if and when they are developed. One or more sponsors would commit to a minimum price that would be paid per person immunized for an eligible product, up to a certain number of individuals immunized. For additional purchases, the price would eventually drop to short-run marginal cost. If no suitable product were developed, no payments would be made. We estimate the offer size which would make the revenues from R&D investments on a malaria vaccine similar to revenues realized from investments in typical existing commercial pharmaceutical products, as well as the degree to which various contract models and assumptions would affect the cost-effectiveness of such a commitment for the case of a malaria vaccine. Under conservative assumptions, we document that the intervention would be highly cost-effective from a public health perspective. Sensitivity analyses suggest most characteristics of a hypothetical malaria vaccine would have little effect on the cost-effectiveness, but that the duration of protection against malaria conferred by a vaccine strongly affects potential cost-effectiveness. Readers can conduct their own sensitivity analyses employing a web-based spreadsheet tool.
JEL-codes: I18 O19 O31 O38 (search for similar items in EconPapers)
Date: 2005-05
New Economics Papers: this item is included in nep-hea
Note: EH PR
References: View references in EconPapers View complete reference list from CitEc
Citations:
Downloads: (external link)
http://www.nber.org/papers/w11288.pdf (application/pdf)
Related works:
Working Paper: Advanced Purchase Commitments for a Malaria Vaccine: Estimating Costs and Effectiveness (2005) 
Working Paper: Advanced purchase commitments for a malaria vaccine: estimating costs and effectiveness (2005) 
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:nbr:nberwo:11288
Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w11288
Access Statistics for this paper
More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().