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This paper provides insights into the determinants of bargaining power and how they affect drug prices. Our data show that drug prices vary across buyers and time periods. We estimate a structural bargaining model where drug suppliers and buyers engage in bilateral bargaining over drug prices....
Persistent link: https://www.econbiz.de/10012845687
We examine an export game where two firms (home and foreign), located in two different countries, produce vertically differentiated products. The foreign firm is the most efficient in terms of R&D costs of quality development and the foreign country is relatively larger and endowed with a...
Persistent link: https://www.econbiz.de/10010261110
We build on the latest developments in the structural gravity literature to quantify the partial and general equilibrium effects of GATT/WTO membership on trade and welfare. Using an extensive database covering manufacturing trade for 186 countries over the period 1980-2016, we find that the...
Persistent link: https://www.econbiz.de/10012822504
We investigate theoretically and empirically the role of wholesalers in mediating the productivity effects of trade … liberalization. Intermediaries provide indirect access to foreign produced inputs. The productivity effects of input tariff cuts on … firms experience productivity gains from reducing input tariffs if trade intermediation of foreign inputs within their …
Persistent link: https://www.econbiz.de/10012857766
We study the relationship between regulatory regimes and pharmaceutical firms' pricing strategies using a unique policy experiment from Norway, which in 2003 introduced a reference price (RP) system called "index pricing" for a sub-sample of off-patent pharmaceuticals, replacing the existing...
Persistent link: https://www.econbiz.de/10013316907
Why is it that exporter productivity premia (EPP) differ so widely in size? We take this question to the theory and to … EPPs across sectors, and hence across countries, can be explained by the variation in productivity dispersion, trade costs …
Persistent link: https://www.econbiz.de/10010333430
still produces. In this case, the operating productivity cutoff is lowered while the exporting cutoff increases in the face …
Persistent link: https://www.econbiz.de/10010278866
We consider an international cartel whose members interact repeatedly in their own as well as in third-country segmented markets. Cartel discipline-an inverse measure of the degree of competition between firms-is endogenously determined by the cartel's incentive compatibility constraint (ICC),...
Persistent link: https://www.econbiz.de/10012314841
The European Union and Japan have recently launched negotiations about a bilateral free trade agreement as means of economic stimulation, with trade as a driving force to create growth and wealth. Since customs duties are already low, the success of the liberalization process hinges on the...
Persistent link: https://www.econbiz.de/10010317020
Pharmaceutical firms spend increasing amounts in mergers and acquisitions (M&As), which raises the question of whether sufficient investment is left after mergers to further develop firms' internal drug development capability. We evaluate the effects of M&As on firms' post-merger R&D investments...
Persistent link: https://www.econbiz.de/10012833741