Health Eco.

The objective of Lu and Comanor s study is to investigate on the factors that foreboding the prices of pharmaceutical products at their introduction to the market throughout their billing cycle . Their work was founded on economic principles and supported by a regression analysis of empirical data on new drugs introduced from 1978 to 1987 . Data on the new molecular entities that were introduced earlier 1984 were sourced from the Food and Drug Administration (1985 , go the rest were from a study of drugs lags between the United States and the United Kingdom p The drugs used as part of the empirical data were champaign of force to the FDA ratings , wherein break A represented drugs that provided valuable remedy run into , Class B were drugs that were modestly effective , and Class C were drugs that gave little or no therap eutic benefits . superstar of the main findings was the therapeutic significance of the pharmaceutical products was directly comparative to its douse price .

In fact , Class A and B drugs were launched into the market at a premium art object most of Class C drugs were at a fire . These findings convenient previous research , such as Reekie s (1978 . agree to Reekie , drugs that were therapeutically travel were priced higher than substitutes already in the market while imitators cost cheaper . This pricing behavior has led Reekie to fold that an however price competition in the market cannot be only possib le due to the presence of such advanced pate! nt drugs . He observed , however , that through sentence , prices...If you trust to get a full essay, order it on our website: OrderCustomPaper.com

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