Brekke, Kurt Richard; Holmås, Tor Helge; Straume, Odd Rune - In: European Economic Review 61 (2013) C, pp. 116-131
We study the impact of product margins on pharmacies' incentive to promote generics instead of brand-names. First, we construct a theoretical model where pharmacies can persuade patients with a brand-name prescription to purchase a generic version instead. We show that pharmacies' substitution...