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Pharmaceutical Industry
A sector of the health care system that discovers, develops, produces, and markets drugs or pharmaceuticals for use as medications.
Creative Destruction
A concept in economics which suggests that new innovations destroy old industries and create new economic structures.
Decreasing-Cost Industry
An industry where the unit cost of production decreases as the industry's output increases, often due to economies of scale.
Average Total Cost
The total cost of production (fixed plus variable costs) divided by the number of units produced.