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Rising Costs in Drug Development: A Deep Dive into the Billions Spent

Discover the significant increase in developing new drugs, with costs now reaching billions of dollars in constant 2000 dollars. Uncover insights from key studies on biopharmaceutical R&D costs. Stay informed on the evolving landscape of drug development expenses.

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Rising Costs in Drug Development: A Deep Dive into the Billions Spent

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  1. The Cost of Developing a New Drug Has Greatly Increased Cost to Develop One New Drug1 Billions (Constant Dollars, Year 2000) Sources: 1J. DiMasi and H. Grabowski, "The Cost of Biopharmaceutical R&D: Is Biotech Different?," Managerial and Decision Economics, 2007; J. DiMasi et al., “The Price of Innovation: New Estimates of Drug Development Costs,” Journal of Health Economics, 2003.

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