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Does the identity of the third-party payer matter for prescribing doctors?

Dalen, Dag Morten; Locatelli, Marilena; Sorisio, Enrico; Strøm, Steinar
Journal article, Peer reviewed
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Dalen_AEF_2014.pdf (951.8Kb)
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http://hdl.handle.net/11250/195740
Utgivelsesdato
2014
Metadata
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Samlinger
  • Scientific articles [1667]
Originalversjon
Applied Economics and Finance, 1(2014)1: 39-54   10.11114/aef.v1i1.324
Sammendrag
TNF-alpha inhibitors represent one of the most important areas of biopharmaceuticals by sales, with threeblockbusters accounting for 8 per cent of total pharmaceutical sale in Norway. Novelty of the paper is to examine, with the use of a unique natural policy experiment in Norway, to what extent the price responsiveness of prescription choices is affected when the identity of the third-party payer changes. The three dominating drugs in this market, Enbrel, Remicade, and Humira, are substitutes, but have had different and varying funding schemes -hospitals and the national insurance plan. A stochastic structural model for the three drugs, covering demand and price setting, is estimated in a joint maximum likelihood approach. We find that doctors are more responsive when the costs are covered by the hospitals compared to when costs are covered by national insurance
Beskrivelse
This is an open access journal available at redfame.com
Utgiver
RedFame Publishing
Tidsskrift
Applied Economics and Finance

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