Private/public financing

Although this measure was first introduced in Germany in 1989, constraints on public drag spending and the creation of incentives for cheaper alternatives are not new to cost containment policies, especially in public health systems. Several forms of public financing of pharmaceuticals based on comparison (yardstick competition) have been used in some countries by public and private insurers. Public financing mechanisms that pursue a similar strategy to that of RP include the maximum allowable cost (MAC) applied by the... 

Widdus, Roy, and Katherine White. 2004. Combating Diseases of Poverty Financing Strategies for Product Development and the Potential Role of Private-Public Partnerships. Geneva Initiative on Private-Public Partnerships for Health. 

Often the reason a given plant site is chosen is that special incentives have been offered by local authorities. In the mid-1960s, when money for financing was hard to obtain and interest rates were high, tax-free municipal bonds were an important lure. Tax-free means the investor does not need to pay taxes on his earnings. This means the bonds can be sold at lower interest rates and the company saves money. In 1967, 1,500,000,000 worth of these industrial bonds were issued. In 1968 the Department of Internal Revenue announced that in the future bonds used to finance private industry would be taxed regardless of who issued them. However, since then various loopholes have developed. Municipal bonds used to finance public projects such as schools, roads, and fire stations are still not taxed, since many communities would be unable to finance these projects at commercial interest rates. 

Improving access to essential medicines is perhaps the most complex challenges to all actors in the public, private and NGO (non-government organization) sectors involved in the field of medicines supply. They must all combine their efforts and expertise, and work jointly towards the solutions. Many factors define the level of access, such as financing, prices, distribution systems, appropriate dispensing and use of essential medicines. 

A collaboration between industrial players and research organisations was set up to enhance the innovative research on fuel cells within the Flemish region. This partnership is financed with public and private funds and started in June 2003 with 12 companies. 

In November 2003, the EC also launched the European Initiative forCrowthto boost EU economic development. The initiative includes a "Quick Start Programme" with a list of projects for public/private investment in infrastructure, networks and knowledge. The aim is to encourage the creation of public/private partnerships in co-operation with the Member States and the European Investment Bank in order to leverage finance. 

As described in Scenario 3, the board of trustees is ultimately responsible for the fiscal health of a private not-for-profit hospital. It has a financial responsibility to the public. The board typically delegates all routine responsibilities to the chief executive officer (CEO) of the institution. The board also appoints a finance committee of the board to advise the CEO on overall financial management. The finance committee is responsible for overseeing the financial position of the hospital to ensure that there is adequate operating and long-term capital available. The committee advises the board of trustees on all fiscal and investment matters. 

Among the several large libraries in the United States of some bibliographic in- terest to chemists is the collection of the Astor, Lenox, and Tilden Foundations, the privately endowed Reference Department of The New York Public Library at 5th Avenue and 42nd Street. The total reference collection of almost 4,000,000 volumes, with very few titles duplicated, is one of the large reference collections in the world, financed, incidentally, almost entirely from private funds. 

The World Development Report 2004 reviews traditional approaches to public service delivery and discusses how they have often failed the poor. Whether in health, education, or infrastructure, supply-side subsidy strategies to fund inputs—such as staff costs, equipment, and buildings used in delivery—have not improved the access to quality services among the poor. An important question remains for developing countries and the international development community on how to deliver and target public subsidies in ways that promote efficiency and innovation, increase accountability for performance, and leverage public resources with private participation and financing. 

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