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Paying for innovation: Reimbursement incentives for antibiotics

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Science Translational Medicine  25 Feb 2015:
Vol. 7, Issue 276, pp. 276fs9
DOI: 10.1126/scitranslmed.aaa1429
  • Is resistance futile?

  • Fig. 1.

    Valuing new antibiotics. Depicted in graphic form are the estimates from (6) of the currently unrealized social benefits of antibiotics intended to treat common infections. The graphs, plotted on a logarithmic scale that spans the confidence intervals of these estimates, illustrate the difference between the estimated net present value (NPV) of a new antibacterial product to society (social expected NPV) and the NPV of the product to the developer (private expected NPV). The net present value represents the sum total of the benefits and costs of a particular product, after discounting future estimates to their present values. If positive, a difference between the social and private NPVs indicates that the social value of a product exceeds the private value of the returns expected to accrue to the developer. Data points are based on information in (6) for six categories of infections: (i) acute bacterial otitis media (ABOM), (ii) acute bacterial skin and soft-tissue infections (ABSSI), (iii) complicated intra-abdominal infections (cIAI), (iv) complicated urinary tract infections (cUTI), (v) community-acquired bacterial pneumonia (CABP), and (vi) hospital-acquired bacterial pneumonia and ventilator-associated bacterial pneumonia (HABP+VABP). Dashed lines represent 75% confidence intervals around the reported means.


Supplementary Materials

  • Supplementary Material for:

    Paying for innovation: Reimbursement incentives for antibiotics

    Thomas J. Hwang,* Daniel Carpenter, Aaron S. Kesselheim*

    *Corresponding author. E-mail: tjhwang{at} (T.J.H.); akesselheim{at} (A.S.K.)

    Published 25 February 2015, Sci. Transl. Med. 7, 276fs9 (2015)
    DOI: 10.1126/scitranslmed.aaa1429

    This PDF file includes:

    • Methods
    • Fig. S1. Median peak and present value of global sales of antibiotic, cancer, and cardiovascular drugs from 1990 to 2012.
    • Fig. S2. Cumulative global sales of selected branded antibiotics

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