@techreport{NBERw5306,
 title = ""Generic Entry and the Pricing of Pharmaceuticals"",
 author = "Richard G. Frank and David S. Salkever",
 institution = "National Bureau of Economic Research",
 type = "Working Paper",
 series = "Working Paper Series",
 number = "5306",
 year = "1997",
 month = "May",
 URL = "http://www.nber.org/papers/w5306",
 abstract = {During the 1980s the share of prescriptions sold by retail pharmacies that was accounted for by generic products roughly doubled. The price response to generic entry of brand-name products has been a source of controversy.  In this paper we estimate models of price responses to generic entry in the market for brand-name and generic drugs.  We study a sample of 32 drugs that lost patent protection during the early to mid-1980s.  Our results provide strong evidence that brand-name prices increase after entry and are accompanied by large price decreases in the price of generic drugs.},
}