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In this paper we study the effect of reference pricing on pharmaceutical prices and expenditures when generic entry is endogenously determined. We develop a Salop-type model where a brand-name producer competes with generic producers in terms of prices. In the market there are two types of...
Persistent link: https://www.econbiz.de/10013024341
The theoretical relationship between market structure (number of firms) and conduct (pricing behavior) of the generic drug industry was investigated. The effects of qualitative variables such as therapeutic category, duration of use, popularity, and market entry aggressiveness on the...
Persistent link: https://www.econbiz.de/10013128541
External reference pricing (ERP), the practice of benchmarking domestic drug prices to foreign prices, generates an incentive for firms to withhold products from low-income countries. Using a novel moment inequality approach, we estimate a structural model to measure the extent to which ERP...
Persistent link: https://www.econbiz.de/10014093683
of brand name pharmaceuticals, while the results regarding generics are less clear. In the empirical part of the paper …, the introduction of the substitution reform in the Swedish pharmaceuticals market in October 2002 is used as a natural … reform has lowered the price of both brand name and generic pharmaceuticals …
Persistent link: https://www.econbiz.de/10014260998
Constantly rising expenditures for pharmaceuticals require government intervention in firms' pricing decisions. To this …
Persistent link: https://www.econbiz.de/10011976973
Although personalized medicine is becoming the new paradigm to manage some diseases, the economics of personalized medicine have only focused on assessing the efficiency of specific treatments, lacking a theoretical framework analyzing the interactions between pharmaceutical firms and healthcare...
Persistent link: https://www.econbiz.de/10011586604
-patent pharmaceuticals. We present a theoretical model with price-sensitive and loyal consumers that shows that a decrease in the reference …
Persistent link: https://www.econbiz.de/10010489291
pharmaceuticals to examine how incumbents respond to change in the threat of entry. In line with the entry deterrence motive …
Persistent link: https://www.econbiz.de/10012285099
In October 2002, a substitution reform was introduced in the Swedish pharmaceuticals market. In this paper, the effects …
Persistent link: https://www.econbiz.de/10010277132
Introduction: In 2009, the Swedish pharmaceuticals market was reformed. One of the stated policy goals was to achieve … generic pharmaceuticals have been collected, and a log-linear regression model was used to estimate how the policy changes … supplying off-patent pharmaceuticals experienced a clear reduction in the price received for their products. …
Persistent link: https://www.econbiz.de/10011019147