WHU Knowledge

About WHU Knowledge

WHU Knowledge is the online knowledge platform of WHU - Otto Beisheim School of Management, one of Germany’s leading business schools. It provides hands-on insights for business executives, journalists, politicians, associations, and fellow researchers on numerous economic and managerial subjects. WHU Knowledge bundles the expertise of the WHU – Otto Beisheim School of Management chairs and invites for a lively exchange.

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A Look at the Cost Explosion in the Healthcare System

Why pharmaceutical expenditures in Germany will drastically increase over time

Christian Hagist

For years now, pharmaceutical expenditures in Germany have only trended in one direction: upward. And yet, the primary drivers behind this explosion in costs have remained unidentified, and how excess spend will develop over time left undetermined. A new study from WHU – Otto Beisheim School of Management and Aalen University tackles this conundrum head-on. Its various projections for 2060 show that the amount spent on medicine will drastically increase as time goes by—and policymakers will have to act quickly to prevent things from getting out of control.