1 OECD Health Policy Studies OECD Health Policy Studies Pharmaceutical Pricing Policies OECD Health Policy Studies in a Global Market Pharmaceutical Pricing Policies are designed with national objectives in mind, but are the Pharmaceutical Pricing Policies in a Global Market transnational implications always taken into account? Pharmaceutical policy making raises particular challenges in reconciling key objectives for health policy, such as ensuring affordable access to the latest effective drugs, with other important policy considerations, such as providing support to a valuable national industry. Unusually among health policy issues, it also raises international considerations that further complicate decision making, particularly as the nature and extent of such considerations are not well understood.
2 How do national Pharmaceutical Pricing policy decisions affect innovation in the Pharmaceutical sector? How do such decisions affect prices paid for pharmaceuticals, or access to pharmaceuticals, in other countries? This report assesses how Pharmaceutical Pricing and reimbursement Policies have contributed to the achievement of certain health policy objectives. It examines the national and transnational effects of these Policies , in particular, their implications for the availability of medicines in other countries, the prices of these medicines, and innovation in the Pharmaceutical sector. This publication presents an analysis of comparative price levels, making use of a unique dataset to construct the most comprehensive pan-OECD Pharmaceutical price index to date.
3 It also draws upon original case studies of Pharmaceutical Pricing and reimbursement Policies in six OECD. Pharmaceutical Pricing Policies in a Global Market countries to provide speci c examples of the impacts of Policies on health system performance. The full text of this book is available on line via these links: Those with access to all OECD books on line should use this link: SourceOECD is the OECD online library of books, periodicals and statistical databases. For more information about this award-winning service and free trials ask your librarian, or write to us at ISBN 978-92-64-04414-2.. 81 2008 04 1 P -:HSTCQE=UYYVYW: Pharmaceutical Pricing Policies in a Global Market ORGANISATION FOR ECONOMIC CO-OPERATION.
4 AND DEVELOPMENT. The OECD is a unique forum where the governments of 30 democracies work together to address the economic, social and environmental challenges of globalisation. The OECD is also at the forefront of efforts to understand and to help governments respond to new developments and concerns, such as corporate governance, the information economy and the challenges of an ageing population. The Organisation provides a setting where governments can compare policy experiences, seek answers to common problems, identify good practice and work to co-ordinate domestic and international Policies . The OECD member countries are: Australia, Austria, Belgium, Canada, the Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Korea, Luxembourg, Mexico, the Netherlands, New Zealand, Norway, Poland, Portugal, the Slovak Republic, Spain, Sweden, Switzerland, Turkey, the United Kingdom and the United States.
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7 Foreword T his publication presents an analysis of the national and cross-national impacts of OECD. countries' Pharmaceutical Pricing Policies . It assesses how Pharmaceutical Pricing and related Policies have helped countries achieve certain well-established health policy goals. And given the increasingly Global scope of Pharmaceutical markets, the broader impacts of these national Policies on the availability and prices of pharmaceuticals in other countries are examined, as are their implications for the very important issue of Pharmaceutical innovation. The OECD Health Committee launched its work on Pharmaceutical Pricing Policies in December 2005.
8 The twin objectives of the project were: i) to add to the base of information on Pharmaceutical Pricing Policies and their effects within countries; and ii) to produce an assessment of the cross- national impacts of Pharmaceutical Pricing Policies on the availability and prices of pharmaceuticals abroad, and on Pharmaceutical research and development. The project has consisted of two complementary strands of work. Case studies of selected countries - Canada, Mexico, Switzerland, Sweden, the Slovak Republic and Germany - were the main focus of the first strand. The case studies were an integral input in the assessment of the national impacts of Pharmaceutical Pricing Policies .
9 The main focus of the second strand was to assess the Global impacts of these Policies The project team conducted numerous interviews with officials, experts and stakeholders in the case-study countries, and beyond, to whom we are grateful for their insights and expertise. The OECD. project also benefited from cooperation with the Pharmaceutical Pricing and Reimbursement Information (PPRI) project, managed by the Austrian Health Institute ( BIG) and the World Health Organization European Regional Office, and financed by the European Commission and the Austrian Ministry of Health, Family and Youth. This report was prepared by Elizabeth Docteur, who served as project director, and Val rie Paris of the Health Division of the OECD Directorate for Employment, Labour and Social Affairs, and by Pierre Mo se, working in the Health Division on secondment from Health Canada.
10 The report benefited from comments and suggestions from Martine Durand, John Martin, Peter Scherer and the project's experts group, which provided technical input and feedback on the work at three meetings convened during the course of the project. Statistical assistance was provided by Lihan Wei, and secretarial support by Marie-Christine Charlemagne and Gabrielle Luthy. Meghan McMahon and Johanneke Maenhout provided research assistance while at the OECD on student internships. The OECD project on Pharmaceutical Pricing Policy was financed by voluntary contributions made by member countries to support the work programme of the OECD Health Committee.