Brookings Institution: The global burden of medical innovation
In a report originally published at the Schaeffer Center for Health Policy & Economics at the University of Southern California, Dana Goldman, nonresident senior fellow for economic studies at the Center for Health Policy at the USC-Brookings Schaeffer Initiative for Health Policy, and Darius Lakdawalla, Quintiles chair in pharmaceutical development and regulatory innovation at the USC Schaeffer Center for Health Policy and economics professor at the USC School of Pharmacy and Price School of Public Policy, discuss the relationship between drug spending and drug discovery, highlighting the U.S. contribution to global pharmaceutical profits. The authors write, “Pressure is building in the United States for the federal government to take action to regulate drug prices. Proponents contend that consumers will benefit from lower prices, while critics contend that reducing future revenues will slow innovation. … However, if other wealthy countries shouldered more of the burden for medical innovation, both American and European patients would benefit…” (1/30).