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Rational Self-Medication

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  • Michael E. Darden
  • Nicholas W. Papageorge

Abstract

We develop a model of rational self-medication in which individuals use potentially dangerous or addictive substances (e.g., alcohol) to manage symptoms of illness (e.g., depression) outside of formal medical care. A model implication is that the emergence of better treatments reduces incentives to self-medicate. To investigate, we use forty years of longitudinal data from the Framingham Heart Study and leverage the exogenous introduction of selective serotonin reuptake inhibitors (SSRIs). We demonstrate an economically meaningful reduction in alcohol consumption when SSRIs became available. Our findings illustrate how the effects of medical innovation operate, in part, through changes in behavior.

Suggested Citation

  • Michael E. Darden & Nicholas W. Papageorge, 2018. "Rational Self-Medication," NBER Working Papers 25371, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:25371
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    References listed on IDEAS

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    Cited by:

    1. Carrieri, Vincenzo & Madio, Leonardo & Principe, Francesco, 2020. "Do-It-Yourself medicine? The impact of light cannabis liberalization on prescription drugs," Journal of Health Economics, Elsevier, vol. 74(C).
    2. DiNardi, Michael, 2021. "Aging out of the federal dependent coverage mandate and purchases of prescription drugs with high rates of misuse," Economics & Human Biology, Elsevier, vol. 43(C).

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    More about this item

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

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