Moral Hazard and the Pharmaceutical Benefits Scheme. The extent and significance of moral hazard in the PBS is an issue of significance for all Australians. Pharmaceuticals are a central feature in maintaining the health of Australians and with factors such as an ageing population and technological advances the centrality of pharmaceuticals is likely to be consolidated One, if not the, major challenge will be how to provide pharmaceuticals efficiently, equitably and sustainably. If significant a ....Moral Hazard and the Pharmaceutical Benefits Scheme. The extent and significance of moral hazard in the PBS is an issue of significance for all Australians. Pharmaceuticals are a central feature in maintaining the health of Australians and with factors such as an ageing population and technological advances the centrality of pharmaceuticals is likely to be consolidated One, if not the, major challenge will be how to provide pharmaceuticals efficiently, equitably and sustainably. If significant and extensive, moral hazard potentially compromises PBS efficiency and threatens sustainability. The proposed project represents a significant empirical contribution to understanding the impact of moral hazard on the PBS and will make a significant contribution towards making the PBS sustainableRead moreRead less