Abstract:
:The price effects of the Swedish pharmaceutical substitution reform are analyzed using data for a panel of all pharmaceutical product sold in Sweden in 1997-2007. The price reduction due to the reform was estimated to average 10% and was found to be significantly larger for brand-name pharmaceuticals than for generics. The results also imply that the reform amplified the effect that generic entry has on brand-name prices by a factor of 10. Results of a demand estimation imply that the price reductions increased total pharmaceutical consumption by 8% and consumer welfare by SEK 2.7 billion annually.
journal_name
J Health Econjournal_title
Journal of health economicsauthors
Granlund Ddoi
10.1016/j.jhealeco.2010.08.003subject
Has Abstractpub_date
2010-12-01 00:00:00pages
856-65issue
6eissn
0167-6296issn
1879-1646pii
S0167-6296(10)00102-5journal_volume
29pub_type
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