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. Author manuscript; available in PMC: 2022 May 20.
Published in final edited form as: Q J Econ. 2015 Jul 15;130(4):1623–1667. doi: 10.1093/qje/qjv029

Table III:

Responses to Price Changes Can Have Large Health Implications

Study Price Change Use Change Health Value [illustrative fact]
Chandra et al. (2010) $7 ↑ in drug copay (from ~$1 to ~$8) Elasticities: .15 for essential drugs; .23 for asthma meds, .12 for cholesterol meds, .22 for depression meds Offsetting 6% ↑ in hospitalization
Hsu et al. (2006) Imposition of $1000 annual Rx cap ↑ in non-adherence to antihypertensives, statins, diabetes drugs by ~30% 13% ↑ in nonelective hospital use; 3% ↑ in high blood pressure (among hypertensives); 9% ↑ in high cholesterol (among hyperlipidemics); 16% ↓ in glycemic control (among diabetics)
Lohr et al. (1986) Cost-sharing vs. none in RAND ↓ in use of insulin by 44%, beta blockers by 40%, antidepressants by 36% [Consistent filling of diabetic med prescriptions ↓ hospitalization risk from 20–30% down to 13% (Sokol et al. 2005)]
Selby et al. (1996) Introduction of $25–$35 ER copay 9.6% ↓ in visits for emergency conditions Emergency conditions included coronary arrest, heart attack, appendicitis, respiratory failure, etc.
Choudhry et al. (2011) Elimination of Rx copays for post-heart attack patients 4–6 percentage point ↑ in medication adherence Rates of total major vascular events ↓ by 1.8 ppt, heart attacks by 1.1 ppt

Sources: Authors’ summary of literature (see bibliography); additional unpublished detail provided by Chandra et al. Notes: Health value comes from same study when available. [“Illustrative facts” come from other studies.]