The Pharmaceutical Benefits Scheme (PBS) is a central part of the Australian health care system. The plan provides reimbursement to the community pharmacy for the dispensing of prescription drugs, which are prescribed according to the PBS schedule, a complete but closed formula. Drugs are included in the formula based on an assessment of comparative efficacy and cost-effectiveness compared to the therapy most likely to be replaced in practice. The result is that, if there is no evidence of incremental utility, a drug may not be mentioned at a higher price than the comparator, with the result that for many (but not all, far from it) prices for subsidy purposes are much cheaper than in many other important markets. · More than 99% of U.S. exports of industrial products to Australia will be duty-free as soon as the agreement comes into force. Manufactured goods currently account for 93% of total U.S. goods exports to Australia. While the system is very effective at keeping many drug prices low, pharmaceutical companies in both the U.S. and Australia are cautious about operating the system, saying that higher drug prices are needed to finance research and development costs. U.S.
pharmaceutical companies say that Australians, when they ingest low-cost drugs, are essentially free to rely on the costs of research conducted in the United States.  The “first-in-time, first-in-Right” principle applies to trademarks and geographical indications, so that the first person acquiring a right to a trademark or geographical indication is the person who has the right to use it. · Specifies that only authors, composers and other copyright holders have the right to make their works available online. Chapter 18 of the agreement deals with work and is largely limited to general statements of principle. The parties reaffirm their obligations as members of the International Labour Organization (ILO) and their obligations under the ILO Declaration on Fundamental Principles and Rights in the Workplace and Its Monitoring (1998) (ILO Declaration). The agreement recognizes the right of each party to set its own labour standards and to adopt or amend its labour laws accordingly, and stipulates that each party strives to ensure that its laws provide for labour standards consistent with internationally recognized labour principles. The objective of the “Safeguard measures” section of the agreement is to create an agreed structure for protection against serious adverse effects for each country during the transition period following tariff removal.