Abstract
There has been a growth in interest in schemes that involve “paying for pills by results” (Pollock, 2007) i.e. “paying for performance” rather than merely “paying for pills”. Hard-pressed health care payers want to know that they are getting what they are paying for — health and other benefits for patients. Pharmaceutical companies are not prepared to accept prices that they think do not reflect the innovative value that their expensive R&D investments are bringing to patients, the health care system and the broader economy. Paying for outcomes delivered is a way of “squaring the circle”. Payers know they are getting value. Companies get a return that incentivises future innovation.
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Towse, A., Garrison, L., Puig-Peiró, R. (2011). The use of pay-for-performance for drugs: Can it improve incentives for innovation?. In: Incentives for Research, Development, and Innovation in Pharmaceuticals. Economía de la Salud y Gestión Sanitaria. Springer Healthcare, Madrid. https://doi.org/10.1007/978-84-938062-7-9_6
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DOI: https://doi.org/10.1007/978-84-938062-7-9_6
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