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An empirical analysis of habit and addiction to antibiotics

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  • Massimo Filippini
  • Giuliano Masiero

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Abstract

Because of bacterial resistance, current antibiotic consumption is reinforced by past use, and future utility is lower. The purpose of this article is to provide evidence on habit and addictive behavior toward antibiotics by exploring variations in the average consumption of antibiotics across 20 Italian regions. Using a balanced panel dataset (2000-2009), we estimate myopic and rational addiction models in which antibiotic consumption depends upon demographic and socioeconomic characteristics of the population, the supply of health care in the community, antibiotic price, and the "capital stock"of endogenous bacterial resistance measured by past and future consumption. Our empirical evidence shows that past antibiotic consumption stimulates current consumption and is also consistent with the rational addiction hypothesis. The low price elasticity of antibiotic demand suggests that policy measures targeted at antibiotic co-payments may not be effective in controlling antibiotic consumption. There is scope for other policy interventions, such as incentives and information campaigns targeted at doctors.

Suggested Citation

  • Massimo Filippini & Giuliano Masiero, 2011. "An empirical analysis of habit and addiction to antibiotics," Working Papers 1110, Department of Economics and Technology Management, University of Bergamo.
  • Handle: RePEc:brh:wpaper:1110
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    File URL: http://hdl.handle.net/10446/25253
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    Cited by:

    1. Massimo Filippini & Bettina Hirl & Giuliano Masiero, 2015. "Rational habits in residential electricity demand," IdEP Economic Papers 1506, USI Università della Svizzera italiana.
    2. Filippini, M. & Heimsch, F. & Masiero, G., 2014. "Antibiotic consumption and the role of dispensing physicians," Regional Science and Urban Economics, Elsevier, vol. 49(C), pages 242-251.
    3. Thomas Heister & Christian Hagist & Klaus Kaier, 2015. "Resistance Elasticity of Antibiotic Demand in Intensive Care," WHU Working Paper Series - Economics Group 15-01, WHU - Otto Beisheim School of Management.
    4. repec:eee:resene:v:52:y:2018:i:c:p:137-152 is not listed on IDEAS

    More about this item

    Keywords

    Antibiotic consumption; bacterial resistance; dynamic model; rational addiction.;

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • I1 - Health, Education, and Welfare - - Health

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