2018
DOI: 10.1007/s42495-018-0002-7
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Reducing pharmaceutical reimbursement price risk to lower national health expenditures without lowering R&D incentives

Abstract: In Japan, higher reimbursement drug prices give pharmaceutical firms stronger R&D incentives, but they also increase the financial burden on national health insurance and patients. Considering the severe financial situation that the government faces, analyzing how to achieve lower national health expenditures without lowering pharmaceutical firms' existing R&D incentives is important. In this research, we investigate the effect of reducing the reimbursement price risk that pharmaceutical firms face on their R&… Show more

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Cited by 2 publications
(1 citation statement)
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“…Another topic is predictability. Previous research has stressed that a lack of predictability in drug pricing policy makes it difficult for pharmaceutical companies to devise R&D strategies, resulting in a drug lag [73,98]. In other words, if predictability in drug pricing policy exists, R&D incentives can be achieved without raising drug prices.…”
Section: Effects Of Price Control Strategies On Pharmaceuticalmentioning
confidence: 99%
“…Another topic is predictability. Previous research has stressed that a lack of predictability in drug pricing policy makes it difficult for pharmaceutical companies to devise R&D strategies, resulting in a drug lag [73,98]. In other words, if predictability in drug pricing policy exists, R&D incentives can be achieved without raising drug prices.…”
Section: Effects Of Price Control Strategies On Pharmaceuticalmentioning
confidence: 99%