Determinants of the evolution of the pharmaceutical market in Iran for the period 2000-2017

Master's Thesis from the year 2020 in the subject Business economics - Economic Policy, grade: 8, Complutense University of Madrid, language: English, abstract: This research paper analyses the determining factors in the development of Iran's pharmaceutical market, which was favoured by economic reforms and the economic boom caused by globalisation since the 1990s. In addition to a detailed analysis of the structure of the Iranian pharmaceutical market and of the industrial and commercial policies applied to this sector, this research includes an empirical application that aims to identify the determinants of the evolution of the market between the years 2000 and 2017. For this, a multivariate model is used, complemented by the method of the Impulse Response Function. The results indicate that, in Iran, foreign currency from oil revenues continues to be an essential determinant in the development of the domestic industry and the importation of high-cost products during our study period. On the other hand, we corroborated that, although social expenditures tried to sustain the market during the period of application of the sanctions imposed on Iran, the market shows signs of vulnerability to shock and the fall of imports due to difficulties in trade. Finally conclude that the non-oil exports which have been increasing during the period of study are the new sources of foreign exchanges for imports of medicines.