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Cost-containment policies in public pharmaceutical spending in the EU

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  • Giuseppe Carone
  • Christoph Schwierz
  • Ana Xavier

Abstract

This paper presents and evaluates pharmaceutical policies in the EU aimed at the rational use of medicines and at keeping pharmaceutical spending under control. Policy makers are growing more aware that by regulating pharmaceutical markets correctly, considerable savings can be achieved without compromising the quality of care. Specifically, the paper makes the case that, by following numerous best-practices in pharmaceutical sector regulations, the value for money of pharmaceutical consumption could be substantially increased. Appropriate regulations can be relevant for pricing, reimbursement, market entry and expenditure control, as well as specific policies targeted at the distribution chain, physicians and patients. Drawing on various initiatives at the EU level related to the pharmaceutical sector, the paper also explores policy options for the EU.

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File URL: http://ec.europa.eu/economy_finance/publications/economic_paper/2012/ecp461_en.htm
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Bibliographic Info

Paper provided by Directorate General Economic and Monetary Affairs (DG ECFIN), European Commission in its series European Economy - Economic Papers with number 461.

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Length: 62 pages
Date of creation: Sep 2012
Date of revision:
Handle: RePEc:euf:ecopap:0461

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  1. Panos Kanavos & Joan Costa-Font, 2005. "Pharmaceutical parallel trade in Europe: stakeholder and competition effects," Economic Policy, CEPR;CES;MSH, vol. 20(44), pages 751-798, October.
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Cited by:
  1. Brick, Aoife & Gorecki, Paul K. & Nolan, Anne, 2013. "Ireland: Pharmaceutical Prices, Prescribing Practices and Usage of Generics in a Comparative Context," Research Series, Economic and Social Research Institute (ESRI), number RS32, September.
  2. Arvate, Paulo & Barbosa, Klenio de Souza & Gambardella, Dante, 2013. "Generic-branded drug competition and the price for pharmaceuticals in procurement auctions," Textos para discussão 333, Escola de Economia de São Paulo, Getulio Vargas Foundation (Brazil).
  3. Levaggi, Rosella, 2014. "Pricing schemes for new drugs: A welfare analysis," Social Science & Medicine, Elsevier, vol. 102(C), pages 69-73.
  4. Schrader, Klaus & Bencek, David & Laaser, Claus-Friedrich, 2013. "IfW-Krisencheck: Alles wieder gut in Griechenland?," Kiel Discussion Papers 522/523, Kiel Institute for the World Economy (IfW).
  5. Curto, Sandro & Ghislandi, Simone & van de Vooren, Katelijne & Duranti, Silvy & Garattini, Livio, 2014. "Regional tenders on biosimilars in Italy: An empirical analysis of awarded prices," Health Policy, Elsevier, vol. 116(2), pages 182-187.

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