This paper examines the relationship between drug price and drug quality and how it varies across two of the most … Standards and Price Controls mechanisms (MES PC). Through a simple model of adverse selection we model the interaction between …

This paper examines the relationship between drug price and drug quality and how it varies across two of the most … standards and price control mechanisms (MES+PC). Through a simple model of adverse selection we model the interaction between … greater incentives to produce high quality drugs. Second, an MES+PC mix reduces the difference in price between the highest …

The aim of this article is to analyze the relationship between drug price and drug quality and how it varies across two … of the most common regulatory regimes in the pharmaceutical market: Minimum Efficacy Standards (MES) and Price Controls … regime than in the PC regime or a in combination of the two. Second, PC regulation reduces the difference in terms of high …