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Industry effects of medical device regulation: The case of diagnostic imaging equipment


  • Niccie L. McKay


In 1976 Congress passed legislation authorizing the regulation of all medical devices. Some observers predicted that this regulation would have adverse effects on the newly regulated industries. This paper examines the major features of the medical device regulatory program and investigates how the regulation has affected the diagnostic imaging equipment industry. The results indicate that medical device regulation has not materially affected competition or innovation within established product classes in this industry. This suggests that, by choosing methods of regulation that differentiate among levels of potential risk to consumers, the goal of consumer protection can be achieved with fewer undesirable effects on the regulated industry.

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  • Niccie L. McKay, 1986. "Industry effects of medical device regulation: The case of diagnostic imaging equipment," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 6(1), pages 35-44.
  • Handle: RePEc:wly:jpamgt:v:6:y:1986:i:1:p:35-44 DOI: 10.1002/pam.4050060104

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    References listed on IDEAS

    1. Slemrod, Joel & Yitzhaki, Shlomo, 1987. " The Optimal Size of a Tax Collection Agency," Scandinavian Journal of Economics, Wiley Blackwell, vol. 89(2), pages 183-192.
    2. Kurt J. Beron & Helen V. Tauchen & Ann Dryden Witte, 1988. "A Structural Equation Model for Tax Compliance and Auditing," NBER Working Papers 2556, National Bureau of Economic Research, Inc.
    3. Spicer, M W & Lundstedt, S B, 1976. "Understanding Tax Evasion," Public Finance = Finances publiques, , vol. 31(2), pages 295-305.
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    Cited by:

    1. Chris Tilly & Michael Handel, 1998. "The Diagnostic Imaging Equipment Industry: What Prognosis for Good Jobs?," Macroeconomics 9805002, EconWPA.

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