Incentives for R&D: Payment Options and Pricing Challenges

Barros, P.

Seminar Briefing
August 2020

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The issue of rising prescription drug prices is a concern in every country. Dozens of policy initiatives and hundreds of research projects over last the fifty years have attempted to find solutions to pricing that provide an appropriate balance between the cost to health care systems and incentives for R&D. To name but a few, these include reference pricing, managed entry agreements, price-volume agreements, rebates, and risk sharing. The ultimate solution, however, remains elusive.