There is convincing evidence that the Internet has lowered the prices paid by some consumers inestablished industries, for example, term life insurance and car retailing. However, current researchdoes not reveal much about how using the Internet lowers prices. This paper answers this questionfor...

"On January 1, 2006, the federal government began providing insurance coverage for Medicare recipients' prescription drug expenditures through a new program known as Medicare Part D. Rather than setting pharmaceutical prices itself, the government contracted with private insurance plans to...