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About Pharma and Big Pharma.

Reinaldo Guimarães1

  • 1Núcleo de Bioética e Ética Aplicada, Universidade Federal do Rio de Janeiro. R. Venceslau Brás 71, Campus Praia Vermelha, Botafogo. 22290-140 Rio de Janeiro RJ Brasil. reinaldo.guimaraes47@gmail.com.

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The global pharmaceutical industry evolved into Big Pharma due to economic financialization and intellectual property changes. This transformation weakened post-WWII multilateralism.

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Area of Science:

  • Health Economics
  • Political Economy
  • Pharmaceutical Industry Analysis

Background:

  • The global pharmaceutical industry's evolution into "Big Pharma" is a significant economic and political phenomenon.
  • Understanding the "Health Industrial Complex" is crucial for analyzing healthcare systems.
  • The post-World War II multilateral order faced challenges in the 1990s.

Purpose of the Study:

  • To analyze the trajectory of the global pharmaceutical industry towards Big Pharma.
  • To examine the economic and political dimensions of the Health Industrial Complex.
  • To identify key determinants driving the industry's transformation and its relation to global political shifts.

Main Methods:

  • Analysis of economic and political literature on the pharmaceutical industry.
  • Examination of the impact of financialization on the global political economy.
  • Review of World Trade Organization's TRIPS agreement and intellectual property harmonization.

Main Results:

  • Financialization and intellectual property harmonization (TRIPS agreement) are key drivers of Big Pharma's rise.
  • Microeconomic changes within pharmaceutical companies have reshaped production processes.
  • The industry's transformation is linked to the weakening of post-WWII multilateral institutions.

Conclusions:

  • The rise of Big Pharma is intrinsically linked to global economic and political restructuring.
  • Intellectual property regimes and financialization are critical factors in the pharmaceutical industry's consolidation.
  • The evolution of Big Pharma signifies a broader trend of shifting global governance and representation.