Showing papers by "David Dranove published in 1994"
166 citations
TL;DR: In this article, the authors developed measures of "time to approval" and "importance", and determined how the latter affects the former, finding that more important drugs are developed and approved more rapidly than less important drugs.
Abstract: Since the Food and Drug Administration (FDA) Amendments of 1962, the average time from a drug's first worldwide patent application to its approval by the FDA has risen from 35 to 135 years FDA policies and manufacturers' incentives suggest that more important drugs may have reached the market sooner To test this, we develop measures of "time to approval" and "importance," and determine how the latter affects the former Our results indicate that more important drugs are developed and approved more rapidly than less important drugs These results imply that the costs of approval lags have probably been overstated and challenge estimates of the returns to research and development in the pharmaceutical industry
158 citations
TL;DR: 'Evidence' of inducement of childbirths is found, calling into question the validity of the TSLS approach where there is at most only a trivial amount of demand inducement--the demand for childbirths.
157 citations
TL;DR: For example, the authors found that recall announcements about dangerous side effects of drugs were associated with lower share prices for their manufacturers and the industry as a whole, and that share price reductions associated with recalls in the 1970s and 1980s were confined to the manufacturers of the recalled drugs.
Abstract: Immediately prior to the passage of the 1962 Food and Drug Administration Amendments, there were a number of drugs recalled from markets worldwide. Announcements about the dangerous side effects of these drugs were associated with lower share prices for their manufacturers and the industry as a whole. We perform several analyses to sort out alternative explanations for the observed declines. We find that dangerous drug announcements had no effect on the sales of other drugs and did not affect the share values of European drug makers doing little business in the United States. We also find that share price reductions associated with recalls in the 1970s and 1980s were confined to the manufacturers of the recalled drugs. These patterns are consistent with the hypothesis that drug company shareholders viewed the recalls in the early 1960s as signals of an increase in the cost of compliance with new (and more stringent) drug testing requirements.
70 citations
Book•
01 Jan 1994
TL;DR: This text outlines the history of attempts to supervise the supply of specialist providers, revealing the false premises of the Clinton health plan and the likely hazards of its consequences.
Abstract: This text outlines the history of attempts to supervise the supply of specialist providers, revealing the false premises of the Clinton health plan and the likely hazards of its consequences.
4 citations