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Olga Rozanova |
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''The role of the government's participation constraint in the relationship between the price of the medicine and the patients' co-payment'' |
( 2021, Vol. 41 No.3 ) |
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In the paper the relationship between the price of the drug set by the monopolist and the level of the patients' co-payment is reconsidered. I highlight the role of the government's participation constraint when studying this correspondence. I provide an alternative explanation for why the price of the pharmaceutical can be an increasing function of the level of the patients' co-payment. |
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Keywords: price of the pharmaceutical, co-payment, participation constraint of the payer |
JEL: D4 - Market Structure and Pricing: General I1 - Health: General |
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Manuscript Received : Feb 10 2021 | | Manuscript Accepted : Sep 17 2021 |
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