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How Much Does Pharmaceutical R&D Cost?

Now along comes a new method, from Matthew Herper at Forbes. It uses only public, audited data, and it's breathtakingly simple: over a 15-year period, they divided each company's R&D spend by the number of drugs they got approved. The result: DiMasi is also way too low. For every approved drug, pharma spent between $4 billion and $11 billion on R&D. Yes, there's probably some wiggle room on the accounting …

Technorati Tags: new,pharmaceutical,R&D,costs

Posted on December 19, 2012 at 09:02 AM in Managerial Economics | Permalink

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