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Moving towards an Improved Microsimulation Model of the Australian Pharmaceutical Benefits Scheme

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  • Laurie Brown
  • Annie Abello
  • Ben Phillips
  • Ann Harding

Abstract

Finding ways of curbing government expenditure on the Pharmaceutical Benefits Scheme (PBS) while maintaining social equity and access to 'essential' medicines is at the centre of ongoing public debate. This article describes a microsimulation model of the PBS that simulates current and future use and costs of PBS medicines under existing and different PBS policy settings, and estimates the distributional effects of policy changes. The article outlines future developments that will extend the current model to include health outcomes. Adding health outcomes will enable the debate on PBS sustainability to be advanced beyond the prevailing cost-containment mentality to consider not only the costs of pharmaceutical use but also the benefits that result from the use of these medicines. Copyright 2004 The University of Melbourne, Melbourne Institute of Applied Economic and Social Research.

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Bibliographic Info

Article provided by The University of Melbourne, Melbourne Institute of Applied Economic and Social Research in its journal The Australian Economic Review.

Volume (Year): 37 (2004)
Issue (Month): 1 (03)
Pages: 41-61

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Handle: RePEc:bla:ausecr:v:37:y:2004:i:1:p:41-61

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Postal: The University of Melbourne, Victoria 3010
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Cited by:
  1. Xiong Linping & Tang Weidong & Liu Hong, 2011. "Constructing a Basefile for Simulating Kunming’s Medical Insurance Scheme of Urban Employees," International Journal of Microsimulation, Interational Microsimulation Association, vol. 4(3), pages 3-16.
  2. Sharyn Lymer & Laurie Brown & Ann Harding & Alicia Payne, 2011. "Challenges and Solutions in Constructing a Microsimulation Model of the Use and Costs of Medical Services in Australia," International Journal of Microsimulation, Interational Microsimulation Association, vol. 4(3), pages 17-31.

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