Trials, tricks and transparency: How disclosure rules affect clinical knowledge
AbstractScandals of selective reporting of clinical trial results by pharmaceutical firms have underlined the need for more transparency in clinical trials. We provide a theoretical framework which reproduces incentives for selective reporting and yields three key implications concerning regulation. First, a compulsory clinical trial registry complemented through a voluntary clinical trial results database can implement full transparency (the existence of all trials as well as their results is known). Second, full transparency comes at a price. It has a deterrence effect on the incentives to conduct clinical trials, as it reduces the firms' gains from trials. Third, in principle, a voluntary clinical trial results database without a compulsory registry is a superior regulatory tool; but we provide some qualified support for additional compulsory registries when medical decision-makers cannot anticipate correctly the drug companies' decisions whether to conduct trials.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Health Economics.
Volume (Year): 28 (2009)
Issue (Month): 6 (December)
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Web page: http://www.elsevier.com/locate/inca/505560
Pharmaceutical firms Strategic information transmission Incentives Clinical trials Registries Results databases Scientific knowledge;
Other versions of this item:
- Matthias Dahm & Paula González & Nicolás Porteiro, 2008. "Trials, Tricks and Transparency: How Disclosure Rules Affect Clinical Knowledge," Working Papers 08.02, Universidad Pablo de Olavide, Department of Economics.
- Dahm, Matthias & González, Paula & Porteiro Fresco, Nicolás, 2008. "Trials, tricks and transparency: how disclosure rules affect clinical knowledge," Working Papers 2072/5360, Universitat Rovira i Virgili, Department of Economics.
- D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
- I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
- L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
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