Skip to main content
Article thumbnail
Location of Repository

The effects of drug market regulation on pharmaceutical prices in Europe: overview and evidence from the market of ACE inhibitors

By Fritz Von der Schulenburg, Sotiris Vandoros and Panos Kanavos

Abstract

This study provides an overview of policy measures targeting pharmaceutical expenditure in Europe and analyses their impact on originator pharmaceutical prices. Panel data methods are used to examine the market of ACE Inhibitors in six European countries (Denmark, France, Germany, Netherlands, Sweden, United Kingdom) over period 1991-2006. We find that although some measures are effective in reducing originator prices, others appear to have an insignificant effect. Results suggest that supply side measures such as mandatory generic substitution, regressive pharmacy mark-ups and claw-backs are effective in reducing pharmaceuticals prices. Results are not as strong for demand side measures. Profit controls and the use of cost-effectiveness analysis appear to have a negative effect on prices, while results on reference pricing are inconclusive. Findings also indicate that, although originator prices are not immediately affected by generic entry, they may be influenced by changes in generic prices post patent expiry

Topics: RA Public aspects of medicine, RS Pharmacy and materia medica
Publisher: Springer
Year: 2011
DOI identifier: 10.1186/2191-1991-1-18
OAI identifier: oai:eprints.lse.ac.uk:41730
Provided by: LSE Research Online
Download PDF:
Sorry, we are unable to provide the full text but you may find it at the following location(s):
  • http://www.healtheconomicsrevi... (external link)
  • http://eprints.lse.ac.uk/41730... (external link)
  • Suggested articles


    To submit an update or takedown request for this paper, please submit an Update/Correction/Removal Request.