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International pharmaceutical supply prices: Definitions — problems — policy implications
Author(s) -
Von Grebmer K.
Publication year - 1981
Publication title -
managerial and decision economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.288
H-Index - 51
eISSN - 1099-1468
pISSN - 0143-6570
DOI - 10.1002/mde.4090020203
Subject(s) - goods and services , division of labour , transfer (computing) , economics , business , industrial organization , microeconomics , commerce , market economy , computer science , parallel computing
In cases where the buyer and the seller of goods and services are companies belonging to the same group the prices charged for goods and services are called ‘international delivery prices’ or ‘international transfer prices’. The peculiarities of research‐based companies are such that attempts to ascertain in practice what constitutes an ‘appropriate’ international delivery price are beset by a number of problems. Any scheme that is devised to solve the problems of international transfer prices should feature general ‘rules’ on how the various countries ought to share in central costs. As international transfer prices are a prerequisite for an efficient world economy based on the division of labour an agreement should be reached on the design and content of suitable delivery price systems for a research‐intensive industry.