Ageing and pharmaceutical innovation
This chapter asks whether elderly people only spend more on pharmaceuticals to have an easier life, or whether the pharmaceutical industry reacts to this trend of ‘population greying’ by directing research and development (R&D) of new pharmaceuticals in this direction. It outlines a general way in which the process of innovation might be conceptualized, stressing the importance of ‘induced innovations’. It develops the hypothesis that as the proportion of elderly in a population rises, not only the share of pharmaceutical expenditure rises, but also the share of pharmaceutical R&D devoted to this part of the population. With the help of a simple econometric model, the chapter tests this hypothesis and present some results.
Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.
If you think you should have access to this title, please contact your librarian.