Governments often subsidize poorer groups in society to ensure their access to new drugs. We analyze here the optimal income-based price subsidies in a strategic environment. We show that asymmetric health systems can arise even though countries are ex-ante symmetric when international price...

We present a policy game where a Rich country has a higher capacity than a Poor country to commit to certain elements of health policy such as providing income related price subsidies and allowing parallel imports (PI). When allowing PI is not a choice for the Poor country, the Rich country...

In health markets, government policies tend to subsidize poorer groups. The purpose of this paper is to analyze the implications of an income-based subsidy policy on the incentives of countries to implement price arbitrage and of firms to provide market access to poorer groups.

The path breaking work of Card and Krueger (1993), showing higher minimum wage can increase employment turned the age-old conventional wisdom on its head. This paper demonstrates that this apparently paradoxical result is perfectly plausible in a competitive general equilibrium production...

This paper explores the possibility of international technology transfer in lieu of trade in a model with absolute and comparative advantage. Countries having absolute advantage in producing a good may offer that technology to a possible trading partner against a fee and both the countries might...

In health markets, government policies tend to subsidize poorer groups. The purpose of this paper is to analyze the implications of an income-based subsidy policy on the incentives of countries to implement price arbitrage and of firms to provide market access to poorer groups. --...