Abstract
The chapter informs about policy options that governments may use to regulate medicine prices. Price regulation helps make medicines affordable for patients and public payers. Pricing policies can target manufacturer prices as well as prices in the supply chain (through distribution markups, taxes, and further add-ons). Criteria that governments may use to set medicine prices include the prices of the same medicine in other countries or of comparable medicines in the same country (external/internal price referencing), production costs (cost-plus pricing), (added) therapeutic value of a medicine (value-based pricing) and achievement of defined requirements (conditional pricing).
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