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During the 1980s the share of prescriptions sold by retail pharmacies that was accounted for by generic products roughly doubled. The price response to generic entry of brand-name products has been a source of controversy. In this paper we estimate models of price responses to generic entry in the market for brand-name and generic drugs. We study a sample of 32 drugs that lost patent protection during the early to mid-1980s. Our results provide strong evidence that brand-name prices increase after entry and are accompanied by large price decreases in the price of generic drugs.
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Drugs --- Generic drugs
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This Statistical Brief presents data from the Household Component of the Medical Expenditure Panel Survey (MEPS-HC) on brand name and generic prescribed medicine utilization and expenditures in the U.S.civilian noninstitutionalized (community) population in 1993 and 2003.
Generic drugs --- Drugs --- Prices
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Drugs --- Generic drugs
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Generic drugs --- Drug approval --- Drug approval. --- Generic drugs. --- United States.
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Generic drugs. --- Drugs --- Generic substitution.
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Generic drugs --- Prescription pricing --- Prices
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