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The Effects of State Pharmacy Drug Product Selection Laws on Statin Patient Generic-To-Branded Drug Switch-Backs

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Listed:
  • George A. Chressanthis
  • Nayla G. Dahan
  • Kevin J. Fandl

Abstract

Brand-to-generic drug therapeutic substitution effects on patient health is an important health policy issue. State pharmacy drug product selection (DPS) laws allow pharmacists to more easily switch prescriptions from brand-to-generic drugs. This research measures the effects of DPS laws on statin-patient generic-to-branded drug switch-backs, this being a potential indicator of clinical failure from the initial brand-to-generic substitution. Anonymized patient-level data from 2006–2008 were analyzed on statin drug utilization patterns for 397,111 U.S. patients. Logistic regression results on DPS and non-DPS variables show effects on switch-backs in a manner consistent with implications from a principal-agent framework in healthcare. DPS laws should be reviewed to ensure that drugs dispensed by pharmacists are those intended by physicians and in the best health interests of patients.

Suggested Citation

  • George A. Chressanthis & Nayla G. Dahan & Kevin J. Fandl, 2015. "The Effects of State Pharmacy Drug Product Selection Laws on Statin Patient Generic-To-Branded Drug Switch-Backs," The American Economist, Sage Publications, vol. 60(1), pages 26-51, May.
    • Handle: RePEc:sae:amerec:v:60:y:2015:i:1:p:26-51
    DOI: 10.1177/056943451506000104
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    References listed on IDEAS

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    2. Patricia M. Danzon & Michael F. Furukawa, 2011. "Cross-National Evidence on Generic Pharmaceuticals: Pharmacy vs. Physician-Driven Markets," NBER Working Papers 17226, National Bureau of Economic Research, Inc.
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