Publication

This paper considers how patent rights and price regulation affect whether new drugs are marketed in a country and how quickly. The analysis covers a sample of 68 countries at all income levels and includes all drug launches over the period 1982-2002. The authors use revised and compiled information on legal and regulatory policy which is the first systematic analysis of the determinants of drug launch in poor countries. The authors suggest that there is evidence that local capacity and international pricing externalities may play a role.