University of Toronto • Leslie Dan Faculty of Pharmacy

The Economics of
Pharmaceutical Policy.

Examining how economic incentives and public policy shape drug pricing, insurance coverage, and the provision of pharmacy services across Canada and beyond.

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Years in Research
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Published Works
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Graduate Courses
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Policy Reports

Biography

Professor, University of Toronto
Adjunct Professor, McMaster University
Past President, Canadian Health Economics Association
Associate Editor, Health Economics
Fellow, WHO Collaborating Centre
Faculty Associate, Canadian Centre for Health Economics

“My work focuses on how economic incentives and public policy shape the pharmaceutical landscape — from drug pricing and insurance to the provision of community pharmacy services.”

Paul Grootendorst is a Professor at the Leslie Dan Faculty of Pharmacy and the School of Public Policy & Governance at the University of Toronto. He also holds an adjunct position in the Department of Economics at McMaster University and is a Faculty Associate at the Canadian Centre for Health Economics.

His research examines the impact of public policy and regulations on the behaviour of actors in the pharmaceutical sector and the attendant effects on drug spending, the quality of health care, and other outcomes. For instance, lower reimbursement prices for generic drugs may lower drug plan spending, but can lead to shortages if prices make production unprofitable.

A recognized expert in the field, Grootendorst has published numerous papers and reports on drug pricing strategies and pharmaceutical economics. His work has directly informed government generic drug reimbursement and procurement policy, and he is frequently called upon for comment in media stories on these topics.

He served as Director of the Division of Social and Administrative Pharmacy in the Leslie Dan Faculty of Pharmacy from 2008 to 2015, and is a past President of the Canadian Health Economics Association.

Key Focus Areas

Research Domains

Working Papers

Pharmaceutical Policy & Drug Pricing

Examining the impact of generic entry, patent protection, pricing regulations, and reimbursement policies on global drug markets. Research on how lower reimbursement prices affect drug availability and market dynamics.

Primary Research Focus

Health Economics & Insurance

Econometric modeling of health behaviours and the effectiveness of health insurance programs. Studying pharmacare policies and forms of drug coverage, including coverage targeted on expensive drugs that may be feasible if provinces reject a comprehensive national plan.

Community Pharmacy

Economics of community pharmacies: spending, geographic distribution, pharmacist workforce growth, and wage impacts.

Program Evaluation

Statistical methods for assessing healthcare program effectiveness using observational data.

Research Impact

Informing Policy, Shaping Practice

Grootendorst uses survey and administrative data to examine the impact of policies on the behaviour of actors in the pharmaceutical sector. His work has informed government generic drug reimbursement and procurement policy. He is a recognized expert in the field and is often called upon for comment in media stories related to pharmaceutical economics.

Selected Publications

A curated selection of peer-reviewed research papers in health economics and pharmaceutical policy.

01
Applied Health Economics and Health Policy

The effects of prescription drug cost sharing: a review of the evidence

Grootendorst P (2020). Applied Health Economics and Health Policy, 4(1): 37-44.

02
Canadian Journal on Aging

A review of the comprehensiveness of provincial drug coverage for Canadian seniors

Grootendorst P, Hollis A, Levine M, Pogge T, Edwards NC (2018). Canadian Journal on Aging, 37(2): 137-149.

03
Health Services Research

The impact of reference pricing of nonsteroidal anti-inflammatory agents on the use and costs of analgesic drugs

Grootendorst P, Marshall JK, Holbrook AM, Dolovich LR, O'Brien BJ, Levy AR (2015). Health Services Research, 40(5): 1297-1317.

04
Health Policy

The impact of reference pricing of cardiovascular drugs on health care costs and health outcomes: evidence from British Columbia

Schneeweiss S, Dormuth C, Grootendorst P, Soumerai SB, Maclure M (2014). Health Policy, 5(3): 173-184.

05
Diabetologia

A simulation model of the cost of the incidence of IDDM in Spain

Hart WM, Espinosa C, Rovira J, Grootendorst P (2013). Diabetologia, 40(3): 311-318.

Academic Instruction

Courses & Pedagogy

Professional

PHM 425: Pharmacy Practice Research

Research methodologies and evidence-based approaches to evaluating pharmacy practice and healthcare delivery systems.

Undergraduate

PHM 213: Health Economics & Pharmacoeconomics

Fundamental economic principles applied to healthcare, with emphasis on cost-effectiveness analysis of pharmaceutical interventions.

Graduate

PHM 1126: Economics of Health and Health Care

Advanced study of healthcare market dynamics, supply and demand in medicine, and the economic evaluation of health systems.

Graduate

PHM 1132: Applied Health Econometrics

Statistical and econometric methods for analyzing health data, causal inference, and policy evaluation using observational data.

Graduate

PHM 1136H: Introduction to Biostatistics

Probability, clinical trial design, regression analysis, and statistical inference methods for health research applications.

Latest

News & Impact

View All Talks
Pandemic Preparedness

Preparing for the Next Pandemic

New analysis from Professor Paul Grootendorst recommends approaches to generate fast, reliable supply of pandemic vaccines. His research provides evidence-based strategies for strengthening vaccine production infrastructure and supply chain resilience.

Leslie Dan Faculty of Pharmacy
International Exchange

Paris-Toronto Pharmacy Exchange Program

A new student exchange program links the Leslie Dan Faculty of Pharmacy and Université Paris Cité's pharmacy school. The Paris-Toronto Faculties of Pharmacy Fund offers students opportunities for international research exchanges aligned with their professional interests.

Leslie Dan Faculty of Pharmacy

Get in Touch

For academic inquiries, media requests, or potential research collaborations, please reach out via the official university channels.

Phone

+1 (416) 946-3994

Office

Room 606, 144 College Street
Toronto, ON M5S 3M2