IDEAS home Printed from https://ideas.repec.org/p/zbw/mlucee/20079.html
   My bibliography  Save this paper

The international provision of pharmaceuticals: A comparison of two alternative theoretical strategies for global ethics

Author

Listed:
  • Pies, Ingo
  • Hielscher, Stefan

Abstract

Millions of people in the developing world lack access to curative drugs. Thomas Pogge identifies the cause for this problem in a lack of redistribution across borders. By contrast, this article shows that institutional shortcomings within developing countries are the main issue. The different outcomes are the result of diverging analytic approaches: (1) the philosophical approach to ethics versus (2) an economic approach to ethics. The article compares both approaches with regard to how they conceptualise and consecutively propose to solve the problem of providing life-saving pharmaceuticals to the poor in developing countries. A major common feature is that both approaches stress the importance of institutional design and incentives. However, there are important differences in detail: Pogge identifies the patent protection system as the crucial problem. He opposes compulsory licensing, which annuls patent protection on a case by case basis, as a pseudo-solution. Instead, he suggests separating pharmaceutical research from production. Research should be financed by the state and supplied as a public good to companies. In this way, drugs would be sold at market clearing marginal cost prices. Pogge argues for a large subsidy program financed by the rich which would lead to cheap drug prices that the poor can afford. By contrast, from the perspective of an economic ethics, the problem is not one of transfer but of governance: institutional deficits in developing countries hinder the poor from expressing their needs as actual demand on the market. From a theory point of view, the major difference between the two approaches lies in how they conceptualise normativity. In Pogge's approach, the role of ethics is to formulate reasons of duty in order to compel the rich to transfer resources to the poor. Here, normativity is understood as an obligation: the moral "ought" is meant to close gaps between the status quo and social imperatives. From the perspective of an economic approach, however, ethics is meant to help identify common interests. Normativity is understood as a heuristics: It seeks to identify and implement institutional arrangements for mutual benefit.

Suggested Citation

  • Pies, Ingo & Hielscher, Stefan, 2007. "The international provision of pharmaceuticals: A comparison of two alternative theoretical strategies for global ethics," Discussion Papers 2007-9, Martin Luther University of Halle-Wittenberg, Chair of Economic Ethics.
  • Handle: RePEc:zbw:mlucee:20079
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/170284/1/dp2007-09.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Angus Deaton, 2003. "Health, Inequality, and Economic Development," Journal of Economic Literature, American Economic Association, vol. 41(1), pages 113-158, March.
    2. Gary S. Becker & Tomas J. Philipson & Rodrigo R. Soares, 2005. "The Quantity and Quality of Life and the Evolution of World Inequality," American Economic Review, American Economic Association, vol. 95(1), pages 277-291, March.
    3. Pies, Ingo & Hielscher, Stefan, 2007. "Das Problem der internationalen Arzneimittelversorgung: Eine wirtschaftsethische Perspektive," Discussion Papers 2007-1, Martin Luther University of Halle-Wittenberg, Chair of Economic Ethics.
    4. Peffer, Rodney G., 2006. "Symposium On Globalization And Justice: Introduction," Economics and Philosophy, Cambridge University Press, vol. 22(1), pages 113-114, March.
    5. Tan, Kok-Chor, 2006. "Priority For Compatriots: Commentary On Globalization And Justice," Economics and Philosophy, Cambridge University Press, vol. 22(1), pages 115-123, March.
    6. Mandle, Jon, 2006. "Nielsen'S Just Globalization," Economics and Philosophy, Cambridge University Press, vol. 22(1), pages 139-146, March.
    7. Beckmann, Markus & Pies, Ingo, 2006. "Ordo-Responsibility - Conceptual reflections towards a semantic innovation," Discussion Papers 2006-11, Martin Luther University of Halle-Wittenberg, Chair of Economic Ethics.
    8. Nielsen, Kai, 2006. "Response To My Critics," Economics and Philosophy, Cambridge University Press, vol. 22(1), pages 147-158, March.
    9. Shaohua Chen & Martin Ravallion, 2004. "How Have the World's Poorest Fared since the Early 1980s?," The World Bank Research Observer, World Bank, vol. 19(2), pages 141-169.
    10. Pies, Ingo, 2003. "Global social contract: On the road to an economically-sound. Ethics of globalization," Discussion Papers 2003-2, Martin Luther University of Halle-Wittenberg, Chair of Economic Ethics.
    11. Buttkereit, Sören & Pies, Ingo, 2006. "The economic ethics of social dilemmas," Discussion Papers 2006-2, Martin Luther University of Halle-Wittenberg, Chair of Economic Ethics.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Pies, Ingo & Beckmann, Markus & Hielscher, Stefan, 2007. "Mind the Gap! - Ordonomische Überlegungen zur Sozialstruktur und Semantik moderner Governance," Discussion Papers 2007-16, Martin Luther University of Halle-Wittenberg, Chair of Economic Ethics.
    2. Chakraborty, Shankha & Papageorgiou, Chris & Pérez Sebastián, Fidel, 2010. "Diseases, infection dynamics, and development," Journal of Monetary Economics, Elsevier, vol. 57(7), pages 859-872, October.
    3. Pierre Pestieau & Gregory Ponthiere, 2012. "The Public Economics of Increasing Longevity," Hacienda Pública Española / Review of Public Economics, IEF, vol. 200(1), pages 41-74, March.
    4. Schultz, T. Paul, 2010. "Population and Health Policies," Handbook of Development Economics, in: Dani Rodrik & Mark Rosenzweig (ed.), Handbook of Development Economics, edition 1, volume 5, chapter 0, pages 4785-4881, Elsevier.
    5. Lionel Kesztenbaum & Jean-Laurent Rosenthal, 2014. "Income versus Sanitation; Mortality Decline in Paris, 1880-1914," PSE Working Papers halshs-01018594, HAL.
    6. Francesco Ricci & Marios Zachariadis, 2006. "Determinants of Public Health Outcomes: A Macroeconomic Perspective," DEGIT Conference Papers c011_045, DEGIT, Dynamics, Economic Growth, and International Trade.
    7. Francesco Ricci & Marios Zachariadis, 2013. "Education Externalities on Longevity," Economica, London School of Economics and Political Science, vol. 80(319), pages 404-440, July.
    8. David Cutler & Angus Deaton & Adriana Lleras-Muney, 2006. "The Determinants of Mortality," Journal of Economic Perspectives, American Economic Association, vol. 20(3), pages 97-120, Summer.
    9. Cockburn, John & Duclos, Jean-Yves & Zabsonré, Agnès, 2014. "Is global social welfare increasing? A critical-level enquiry," Journal of Public Economics, Elsevier, vol. 118(C), pages 151-162.
    10. Ximing Wu & Andreas Savvides & Thanasis Stengos, 2008. "The Global Joint Distribution of Income and Health," Working Papers 0807, University of Guelph, Department of Economics and Finance.
    11. Mathieu Lefebvre & Pierre Pestieau & Gregory Ponthiere, 2013. "Measuring poverty without the Mortality Paradox," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 40(1), pages 285-316, January.
    12. Angus Deaton, 2004. "Health in an Age of Globalization," NBER Working Papers 10669, National Bureau of Economic Research, Inc.
    13. Pies, Ingo & Hielscher, Stefan, 2007. "Das Problem weltmarktlicher Arzneimittelversorgung: ein Vergleich alternativer Argumentationsstrategien für eine globale Ethik," Discussion Papers 2007-5, Martin Luther University of Halle-Wittenberg, Chair of Economic Ethics.
    14. Ulla Lehmijoki & Tapio Palokangas, 2010. "Demographic and Economic Consequences of the Post-war Mortality Decline in Developing Countries," DEGIT Conference Papers c015_010, DEGIT, Dynamics, Economic Growth, and International Trade.
    15. Dora L. Costa, 2015. "Health and the Economy in the United States from 1750 to the Present," Journal of Economic Literature, American Economic Association, vol. 53(3), pages 503-570, September.
    16. Bonilla, Eugenio Diaz, 2008. "Global macroeconomic developments and poverty:," IFPRI discussion papers 766, International Food Policy Research Institute (IFPRI).
    17. Allen, Jeffrey & Chakraborty, Shankha, 2018. "Aspirations, health and the cost of inequality," Journal of Economic Dynamics and Control, Elsevier, vol. 86(C), pages 144-164.
    18. Ferreira, Francisco H.G. & Ravallion, Martin, 2008. "Global poverty and inequality : a review of the evidence," Policy Research Working Paper Series 4623, The World Bank.
    19. Unceta Satrustegui, Koldo & Gutiérrez-Goiria, Jorge, 2012. "Identidad y legitimidad de la cooperación al desarrollo: El debate sobre la relación de la AOD con la pobreza y la desigualdad internacional/Identity and Legitimacy of Development Cooperation: The Deb," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 30, pages 773-800, Diciembre.
    20. Srinivas, Goli, 2014. "Demographic convergence and its linkage with health inequalities in India," MPRA Paper 79823, University Library of Munich, Germany, revised 05 Dec 2014.

    More about this item

    JEL classification:

    • A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines
    • F02 - International Economics - - General - - - International Economic Order and Integration
    • H44 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Goods: Mixed Markets
    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:mlucee:20079. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://edirc.repec.org/data/wwhalde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.