Economics of Innovation

Optimal innovation balances willingness and ability to pay with the benefits of future R&D. Our wide-ranging programme aims to promote innovation in health care, increase our understanding of its value, and encourage R&D. New models of innovation should streamline development, reduce costs, and speed patient benefit.

News

A Final MVAC Blueprint—and the Start of an R&D Revolution?

6 February 2020

TB kills 1.6m people annually – the world’s deadliest infectious disease. The Market-Driven, Value-Based Advance Commitment (MVAC), creates and guarantees a market for better TB treatment.…

News

OHE Lunchtime Seminar: Personalised Medicine: Is it an oil-rush or oil-spill?

16 January 2020

OHE Lunchtime Seminar with Alistair McGuire, 3rd February 2020. The seminar will present some preliminary thoughts on the promises offered by personalised medicine that it will…

News

Ethical and Economic Issues in the Appraisal of Medicines for Ultra-rare (or Ultra-orphan) Conditions

13 January 2020

In light of concerns that not all medicines for ultra-rare (also known as ultra-orphan) conditions are appraised under the same NICE process, a new OHE Consulting…

Incentives for R&D: Payment Options and Pricing Challenges
Publication

Incentives for R&D: Payment Options and Pricing Challenges

8 January 2020

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…

Publication

A Bargaining Approach: A Theory on ICER Pricing and Optimal Level of Cost-Effectiveness Threshold

1 July 2020

This paper presents a supply and demand model of pharmaceutical markets to analyse the relationship between the value of the Cost-Effectiveness Threshold (CET) and the distribution…

How Should the World Pay for a COVID-19 Vaccine?
Publication

How Should the World Pay for a COVID-19 Vaccine?

1 July 2020

This year’s OHE lecture addresses the question: how should the world pay for a COVID-19 vaccine? Adrian Towse, Emeritus Director of OHE and Senior Research Fellow…

Delivering the 2.4 Percent: Unlocking UK Pharma R&D Investment through Evidence-Based Policies
Publication

Delivering the 2.4 Percent: Unlocking UK Pharma R&D Investment through Evidence-Based Policies

1 June 2020

In the 2017 Industrial Strategy, the Government committed to increasing investment in UK Research and Development to the OECD-average of 2.4% of Gross Domestic Product (GDP)…

Indication-Based Pricing (IBP) Consultation Report
Publication

Indication-Based Pricing (IBP) Consultation Report

1 April 2020

Although the science underlying drug development has evolved, there has been little change in how we pay for them. As more and more medicines come to…

Henderson et al - Ehthical and economic Issues - Thumbnail 2
Publication

Ethical and Economic Issues in the Appraisal of Medicines for Ultra-Rare Conditions

1 January 2020

In light of concerns that not all medicines for ultra-rare (also known as ultra-orphan) conditions are appraised under the same NICE process, a new OHE Consulting…