Via Forbes: The Truly Staggering Cost Of Inventing New Drugs
Having worked in and with Clinical Trials, I can first hand attest to the costs involved in Clinical Trials. These are trials in humans, which means a compound has already passed the rigorous screening process in the lab and in animals.
There’s a myriad of regulations for clinical trials. Not only that, there are additional regulations (computer system validation, filings, audits) that add to the costs.
Ultimately, every drug that makes it to the market not only has to pay for its own development–but also for all the previously attempted developments.