Unbiased Analysis of Today's Healthcare Issues

Understanding The Value Of Innovations In Medicine

Today, there was an excellent briefing put on by Health Affairs at the National Press Club. The topic was “Understanding the Value of Innovations in Medicine” and the briefing contained two panel discussions (see agenda).  The first panel , “Many Stakeholders, Many Values: Measuring Value In A Diverse Healthcare” featured expert economists, epidemiologists, and patient […]

Read the rest of this entry »

Understanding The Value Of Innovations In Medicine

Health Affairs is holding an interesting event in September on “Understanding The Value Of Innovations In Medicine” at the National Press Club. They describe the event as follows: Value” is at the center of discussions of payment and policy, but value has different definitions and meanings reflecting the diversity of stakeholders in the healthcare system. […]

Read the rest of this entry »

Innovation in small markets

The introduction of new treatment technologies typically occurs where there is a large market.  A lot of innovations are developed to treat disease that affect a large number of people in the developed world because the financial returns are large.  It is less likely to observe innovation in the treatment of rare diseases or diseases […]

Read the rest of this entry »

Will the UK become a “desert for healthcare innovation”?

That is the claim made by the Association of the British Pharmaceutical Industry (ABPI).  Lisa Anson, who took over as ABPI president last week, told The Times that the financial squeeze on the NHS threatened the whole of Britain’s £30 billion life sciences sector as firms would reconsider working in the UK.  ABPI asked for the […]

Read the rest of this entry »

Why aren’t there more cures?

The answer is money, reimbursement, and incentives.  Treating chronic disease gives innovators payoff over a long period of time.  If innovators created a cure for that disease, they could of course charge the net present value of this same stream of payments.  Health plans, patients and the media, however, are often shocked at the high sticker […]

Read the rest of this entry »

Supply side health reform

Alex Tabarrok of Marginal Revolution notes that designing a health care system that focuses on benefits to consumers and is important, but one should not ignore how any health care system design affects the supply of health care, in particular incentives to create innovative goods and services. By greater spending on medical research, I mean not […]

Read the rest of this entry »

Does tort reform harm innovation?

The answer appears to be yes according to an NBER working paper by Galasso and Luo: We find that, on average, laws that limit the liability exposure of healthcare providers are associated with a significant reduction in medical device patenting and that the effect is predominantly driven by innovators located in the states passing the […]

Read the rest of this entry »

The Price of Everything and the Value of Nothing

That is the title of an article in Eye for Pharma which interviews me about measuring value in health care.  The article highlights a number of issues related to value measurement, health policy and the healthcare marketplace. The article also describes the launch of the Innovation and Value Initiative, a broad coalition of providers, payers, patient advocates, […]

Read the rest of this entry »

The Innovation and Value Initiative (IVI) has launched

I’m excited to announce that the Innovation and Value Initiative (IVI) has just launched.  I will be serving as the Director of Research.  Below, I have reposted the IVI press release so you can lear more about the initiative. Precision Health Economics today launched the Innovation and Value Initiative (IVI), a multi-stakeholder scientific initiative to […]

Read the rest of this entry »

How do we measure the value of and pay for biomedical innovation?

Dana Goldman, Samuel Nussbaum, and Mark Linthicum have an interesting post on the Health Affairs blog about innovation, value measurement and pricing.  The article mentions the new Innovation and Value Initiative, where I serve as the Director of Research.  An excerpt is below. New pricing mechanisms are needed to effectively link prices to value; we […]

Read the rest of this entry »