Mark McClellan & Gregory Daniel: Market Challenges for Antibiotic Development

Drs. Mark McClellan and Gregory Daniel of the Duke-Margolis Center of Health Policy address the need for new antibiotic drug development. While there is a huge need for innovation and research because bacterial strains grow resistant to drugs with time, the incentive for innovation is low because of low prices and low market uptake. The authors identify weaknesses in the current business model of reimbursement and describe models that are being tried currently. They recommend three policy reforms: increased incentives across product life-cycles, careful targeting of incentives, and global coordination.

Read more in “Repairing the Broken Market for Antibiotic InnovationHealth Affairs

McClellan, M.B., Daniel, G.W., Outterson, K., & Powers, J.H. (2015). Repairing the Broken Market for Antibiotic Innovation. Health Affairs, 34 (2), 277-285. Doi:10.1377/hlthaff.2014.1003.