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Who Develops Innovations In Medicine For The Poor? Trends In Patent Applications Related To Medicines For Hiv/Aids, Tuberculosis, Malaria, And Neglected Diseases


  • Banri ITO
  • Tatsufumi YAMAGATA


Who invents medicines for the poor of the world? This question becomes very important where the WTO allows low income countries to be unbound by the TRIPS agreement.This agreement concerns medicines for infectious diseases such as HIV/AIDS, tuberculosis and malaria. These diseases cause serious damage to low income countries. Under these circumstances, some scholars wonder if anyone will continue innovative activities related to treating these diseases.This paper sought to answer this question by collecting and analyzing patent data of medicines and vaccines for diseases using the database of the Japan Patent Office. Results indicate that private firms have led in innovation not only for global diseases such as HIV/AIDS but also diseases such as malaria that are spreading exclusively in low income countries.Innovation for the three infectious diseases is diverse among firms, and frequent patent applications by high-performing pharmaceutical firms appear prominent even after R&D expenditure, economies of scale, and economies of scope are taken into account.
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Suggested Citation

  • Banri ITO & Tatsufumi YAMAGATA, 2007. "Who Develops Innovations In Medicine For The Poor? Trends In Patent Applications Related To Medicines For Hiv/Aids, Tuberculosis, Malaria, And Neglected Diseases," The Developing Economies, Institute of Developing Economies, vol. 45(2), pages 141-171.
  • Handle: RePEc:bla:deveco:v:45:y:2007:i:2:p:141-171

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    References listed on IDEAS

    1. Rebecca Henderson & Iain Cockburn, 1996. "Scale, Scope, and Spillovers: The Determinants of Research Productivity in Drug Discovery," RAND Journal of Economics, The RAND Corporation, vol. 27(1), pages 32-59, Spring.
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    Cited by:

    1. Patrick Leoni & Alvaro Sandroni, 2016. "Can patent duration hinder medical innovation," International Journal of Health Economics and Management, Springer, vol. 16(4), pages 397-406, December.

    More about this item

    JEL classification:

    • I19 - Health, Education, and Welfare - - Health - - - Other
    • L65 - Industrial Organization - - Industry Studies: Manufacturing - - - Chemicals; Rubber; Drugs; Biotechnology; Plastics
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital


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