Pharmacoeconomics refers to the scientific discipline that compares the value of drug or drug therapy to another. Pharmacoeconomics analysis makes efficient allocation of limited resources among competing alternative medications and services. It includes cost minimization analysis, cost efficient analysis, cost benefit analysis, cost utility analysis. The main goal of pharmacoeconomics to improve the allocation of resources for pharmaceutical products and services and to determine which healthcare alternative provide the best healthcare outcome in terms of money spent.

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