Healthy Skepticism Library item: 10053

Warning: This library includes all items relevant to health product marketing that we are aware of regardless of quality. Often we do not agree with all or part of the contents.

Publication type: Journal Article

Zhang Y, Soumerai SB.
Do newer prescription drugs pay for themselves? A reassessment of the evidence
Health Affairs 2007;
http://content.healthaffairs.org/cgi/content/full/26/3/880

Abstract:

Citing evidence from studies conducted by Frank Lichtenberg, some health policy advocates have argued that, on average, use of new prescription drugs reduces total health care costs. While recognizing that the cross-sectional research design cannot guard against many biases that could overstate the results, we replicated the original study results and examined the findings’ sensitivity to different analytical approaches. Using the same data, we were able to replicate the original results; however, the original findings are not maintained under plausible alternative assumptions. More rigorous research on specific drugs and conditions is necessary before one can claim that newer drugs lower total health care costs.

Keywords:
Publication Types: Comment Research Support, N.I.H., Extramural Research Support, Non-U.S. Gov't Research Support, U.S. Gov't, P.H.S.