Silver Book Fact

For every $1 spent on newer instead of older medicines, total health care spending is reduced by $6.17.

Lichtenberg, Frank R. Benefits and Costs of Newer Drugs: An update. National Bureau of Economic Research Working Paper. 2002; 8996. http://www.nber.org/papers/W8996

Reference

Title
Benefits and Costs of Newer Drugs: An update
Publication
National Bureau of Economic Research Working Paper
Publication Date
2002
Authors
Lichtenberg, Frank R
URL
Read Full Resource

Categories

  • Innovative Medical Research
  • Economic Value

Related Facts

  • Analysis suggests that in the past 20 years, each additional dollar spent on health care services produced health gains valued at between $2.40 and $3.00.  
  • The percentage of noninstitutionalized adults 65 years of age and over with limitation of activity decreased from 39% to 36% between 1997 and 1999 and then remained at 34-35% between…  
  • “In 1985, the age adjusted nursing home residence rate was 54 people per 1,000 age 65 and over. By 2004 this rate had declined to 35 people per 1,000. Among…  
  • The Cleveland Clinic lists these medical innovations in their top ten, because of the potential for short term clinical impact, high probability of success, the availability, and/or data to support…  
  • Resonable disease prevention and management efforts could add $5.7 trillion to the nation’s economic output by 2050– a boost of 18%.