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Project Citation: 

Kyle, Margaret, and Williams, Heidi. Replication data for: Is American Health Care Uniquely Inefficient? Evidence from Prescription Drugs. Nashville, TN: American Economic Association [publisher], 2017. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113519V1

Project Description

Summary:  View help for Summary Alan Garber and Jonathan Skinner (2008) famously conjectured that the US health care system was "uniquely inefficient" relative to other countries. We test this idea using cross-country data on prescription drug sales newly linked with an arguably objective measure of relative therapeutic benefits, or drug quality. Specifically, we investigate how higher and lower quality drugs diffuse in the US relative to Australia, Canada, Switzerland, and the UK. Our tabulations suggest that lower quality drugs diffuse more in the US relative to high quality drugs compared to each of our four comparison countries--consistent with Garber and Skinner's conjecture.

Scope of Project

JEL Classification:  View help for JEL Classification
      H51 National Government Expenditures and Health
      I11 Analysis of Health Care Markets
      I18 Health: Government Policy; Regulation; Public Health
      L65 Chemicals; Rubber; Drugs; Biotechnology; Plastics


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