IP & External Consumption Effects: Generalizations from Health Care Markets

This paper addresses the joint determination of intellectual property (IP) and externality remedies. The authors discuss the impact that IP has on remedies for externalities as well as the reverse problem of the impact externalities have on the design of IP. The results are discussed in the context of health care markets in general, and pharmaceutical markets in particular, the latter being one of the most R&D-intensive industries, and at the same time often being faced with altruistic access issues.