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Drug Advertising and Health Habit

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  • Toshiaki Iizuka
  • Ginger Zhe Jin

Abstract

We examine the effect of direct-to-consumer advertising (DTCA) of drug treatment on an important health habit, physical exercise. By learning the existence of a new drug treatment via DTCA, rational consumers may become careless about maintaining healthy lifestyles. Using the National Health Insurance Survey (NHIS) and MSA-level DTCA data, we find that the DTCA related to four chronic conditions -- diabetes, high cholesterol, over weight, and hypertension -- reduce the likelihood of engaging in moderate exercise. This suggests the possibility that DTCA does not only affect pharmaceutical demand in the short-run, but also have long-run impacts on people's health by affecting their daily routines.

Suggested Citation

  • Toshiaki Iizuka & Ginger Zhe Jin, 2005. "Drug Advertising and Health Habit," NBER Working Papers 11770, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:11770
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    References listed on IDEAS

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    Cited by:

    1. Friedman, Willa Helterline, 2018. "Antiretroviral drug access and behavior change," Journal of Development Economics, Elsevier, vol. 135(C), pages 392-411.
    2. Rosemary Avery & Donald Kenkel & Dean Lillard & Alan Mathios, 2007. "Regulating advertisements: the case of smoking cessation products," Journal of Regulatory Economics, Springer, vol. 31(2), pages 185-208, April.
    3. Meltem Daysal, N. & Orsini, C., 2012. "Spillover Effects of Drug Safety Warnings on Health Behavior," Discussion Paper 2012-025, Tilburg University, Center for Economic Research.
    4. Rosemary Avery & Donald Kenkel & Dean R. Lillard & Alan Mathios, 2007. "Private Profits and Public Health: Does Advertising of Smoking Cessation Products Encourage Smokers to Quit?," Journal of Political Economy, University of Chicago Press, vol. 115(3), pages 447-481.

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    More about this item

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

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