Assignment document - in process

[yourszy]

If any of us got ideas, please just write or edit in the document, rename it with date and re-upload the document.

[dan.ho]

Hi everybody,

I think choosing healthcare medicines is a great idea in narrowing down the pharmaceutical industry.

Possibly something for us to look at is the Pharmaceutical Benefits Scheme (PBS). Under this Scheme the Government sets out subsidies for the costs of most common medicines.

Also there is the National Medicines Policy, this policy outlines the health and economic objectives of Australia and the PBS is tied into this Policy. Here is a good quote from the Policy which provides a very basic insight but pretty much sums up the Government's perspective in the pricing of medicines:

“Cost should not constitute a substantial barrier to people’s access to medicines they need. Therefore normal market mechanisms may be tempered in access arrangements, to increase the affordability of important medicines. For example, the Pharmaceutical Benefits Scheme (PBS) facilitates access to certain prescribed medicines by subsidising costs, and subsidies also occur when hospitals supply medicines to patients. Such subsidies are not costless, and the community as a whole must bear them”.

Both the Policy and Scheme influences how pharmaceutical industries price their product.

I will also research into price techniques and let you know what I can find.