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    PHARMAC economic analysis and “savings” claims

    Research, New Zealand Institute of Economic | October 2018
    Abstract
    PHARMAC frequently claims that it achieves savings through its negotiations practices and approvals process for new medicines. In the 2017 financial year, PHARMAC claims to have achieved $52 million in savings for New Zealand. PHARMAC further claims that between 2005 and 2016, it saved the District Health Boards nearly $6 billion.2 This note provides an explanation and critique of these claims, and a summary of the economic analysis, negotiating strategies, and decision criteria used by PHARMAC as well as the consequences of PHARMAC’s approach. It also includes examples that illustrate the trade-offs that are less visible in funding decisions.
    Citation
    Research, New Zealand Institute of Economic. 2018. PHARMAC economic analysis and “savings” claims. © New Zealand Institute of Economic Research. http://hdl.handle.net/11540/8928.
    Keywords
    Aged Health
    Civil Society Development
    Infrastructure Development
    Infrastructure Development Projects
    Technology Development
    Underdevelopment
    Health Risk
    Health for All
    Health and Hygiene and the Poor
    Quality of Health Care
    Public Health
    Partnerships in Health Reform
    Health Systems
    Nutrition and Health Care
    Education, Health and Social Protection
    Access to Health Care
    Medication
    Access to Medicine
    Project finance
    Development programs
    Development strategy
    Government programs
    Infrastructure projects
    Industrial development
    Social change
    Sanitation
    Diseases
    Water Quality
    Health Hazards
    Health Care Services
    Health Standards
    Health Service Management
    Health Costs
    Electronics
    Computers
    Child Development
    Prenatal Care
    Nutrition Programs
    Child Nutrition
    Child Development
    Medical Statistics
    Drug Policy
    Preventive Medicine
    Medical Economics
    Infrastructure
    Central planning
    Developing countries
    Partnership
    Joint venture
    Limited partnership
    Strategic alliances
    Sanitary engineering
    Sanitation systems
    Sanitation services
    Sanitary affairs
    Delivery of health care
    Prevention of disease
    Health status indicators
    Digital
    State and nutrition
    Nutrition and state
    Food policy
    Nutrition policy
    Obesity
    Hospices
    Sanitation services
    Delivery of health care
    Medical and health care industry
    Health products
    Medicine
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    Citable URI
    http://hdl.handle.net/11540/8928
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    pharmac_savings_background_note.pdf (327.2Kb)
    Author
    Research, New Zealand Institute of Economic
    Theme
    Health
    Development
     
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise