Friday, September 5, 2014

RAND study on healthcare innovation

Here. 

From Summary xvii:

Buy Out Patents
Purchasing patents on products that have already been invented could increase rewards
for inventing products that could decrease spending but are financially unattractive
to inventors and investors. Public agencies, private philanthropists, or public-private
partnerships might purchase patents. The purpose would be to ensure that a product
is commercialized and offered at low prices. A purchaser could (1) put the patent in
the public domain, and offerings by several manufacturers could then generate price
competition, or (2) license the technology selectively, specifying the highest price that
licensees could charge for the product. Realistically, only a small number of patents
could be purchased if purchasing required full payment up front, so purchasers would need to be very selective. As with prizes, however, the best approach might be to offer 
patent holders a share of the savings to the Medicare program that could be attributed 
to the patented inventions.

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