Duke 2008 | ASHE | Equity and Efficiency in Health and Healthcare

This session examines issues at the crossroad of regulation, safety, quality, and promotion of pharmaceuticals, with attention to the actions of firms and the U.S. Food and Drug Administration (FDA). The first paper examines whether public information, specifically, advertising by firms and warnings from the FDA, have effects on pharmaceutical use. This project will help evaluate whether FDA actions are successful in achieving improvements in public health. The second paper also evaluates the effects of public information on health. The focus of this paper is on the interaction between the firm's pricing and promotion decisions and its effect on regulatory action from the FDA. As part of this paper, the direct effects of promotion on adverse health events are analyzed. The third paper turns to the question of the price of pharmaceuticals by examining the interplay of cost sharing and drug quality. These papers all serve to inform the public health community regarding incentives in this highly regulated market.