Table II.

Effects of income, competition, and procurement, on drug prices: pooled retail and tender channels; HIV/AIDS, TB, and malaria drugs, 2004–2008

OLS regressions of log annual treatment price, GPRM and IMS data
	All countries	Matched countries	Per capita income-range countries
Retail channel * generic indicator‡	−0.425***	−0.347	−0.355
	[0.123]	[0.233]	[0.222]
	−35.1%	−31.2%	−31.6%
Tender channel * originator indicator‡	−1.227***	−0.554**	−0.520**
	[0.195]	[0.242]	[0.252]
	−71.2%	−44.2%	−42.4%
Tender channel * generic indicator‡	−1.688***	−1.044***	−1.070***
	[0.200]	[0.295]	[0.256]
	−81.9%	−66.3%	−66.8%
Log per capita income (lnPCI)	0.267***	−0.0501	0.100*
	[0.0494]	[0.0548]	[0.0536]
Gini coefficient	−0.0161***	0.0401***	0.00292
	[0.00549]	[0.0116]	[0.00418]
Gini missing indicator‡	0.0912	−0.163	−0.0197
	[0.101]	[0.157]	[0.0755]
	9.0%	−16.1%	−2.2%
HIV prev. (per 100K)	−0.0006	−0.0106***	−0.00137*
	[0.0008]	[0.00276]	[0.000761]
Log drug volume	−0.0530***	−0.115***	−0.106***
	[0.0125]	[0.0322]	[0.0178]
Tendering generic firms in class§	−0.0453**	0.0168	0.00439
	[0.0206]	[0.0115]	[0.0115]
Retail generic firms in class§	−0.00892**	−0.00879***	−0.00784***
	[0.00358]	[0.00224]	[0.00245]
Originator firms in class§	0.0180	0.0494	0.0478**
	[0.0328]	[0.0448]	[0.0185]
Originator present in molecule‡	0.368***	0.323***	0.312***
	[0.0621]	[0.0832]	[0.0618]
	44.2%	37.6%	36.4%
Non-oral solid‡	0.205**	0.602***	0.182**
	[0.0852]	[0.147]	[0.0902]
	22.3%	80.6%	19.5%
Molecule and year fixed effects	X	X	X
Constant	5.664***	5.557***	5.966***
	[0.611]	[0.893]	[0.588]
Observations	11,694	2222	5314
R-squared	0.794	0.697	0.675

Robust standard errors adjusted for 37 clusters in country in brackets.

^‡Predicted linear effects for indicator variables including variance correction (Kennedy, 1981) reported in italics.

^§All competition measures are calculated within country-class-year, pooled across channels.

^*p < 0.1.

^**p < 0.05.

^***p < 0.01.