Research in Social and Administrative Pharmacy
Volume 1, Issue 2 , Pages 139-157 , June 2005

The association of consumer cost-sharing and direct-to-consumer advertising with prescription drug use☆

  • Richard A. Hansen, Ph.D.

      Affiliations

    • University of North Carolina at Chapel Hill, Division of Pharmaceutical Policy & Evaluative Sciences, CB 7360, Room 205M, Beard Hall, Chapel Hill, NC 27599, USA
    • Corresponding Author InformationCorresponding author. Tel.: +1 919 966 7517; fax: +1 919 966 8486.
    • ,
  • Jon C. Schommer, Ph.D.

      Affiliations

    • University of Minnesota College of Pharmacy, Department of Pharmaceutical Care and Health Systems, 308 Harvard Street SE, Room 5-130 WDH, Minneapolis, MN 55455, USA
    • Tel.: +1 612 626 9915; fax: +1 612 625 9931.
    • ,
  • Richard R. Cline, Ph.D.

      Affiliations

    • University of Minnesota College of Pharmacy, Department of Pharmaceutical Care and Health Systems, 308 Harvard Street SE, Room 5-130 WDH, Minneapolis, MN 55455, USA
    • Tel.: +1 612 624 0124; fax: +1 612 625 9931.
    • ,
  • Ronald S. Hadsall, Ph.D.

      Affiliations

    • University of Minnesota College of Pharmacy, Department of Pharmaceutical Care and Health Systems, 308 Harvard Street SE, Room 5-130 WDH, Minneapolis, MN 55455, USA
    • Tel.: +1 612 624 2487; fax: +1 612 625 9931.
    • ,
  • Stephen W. Schondelmeyer, Ph.D.

      Affiliations

    • University of Minnesota College of Pharmacy, Department of Pharmaceutical Care and Health Systems, 308 Harvard Street SE, Room 5-130 WDH, Minneapolis, MN 55455, USA
    • Tel.: +1 612 624 9931; fax: +1 612 625 9931.
    • ,
  • John A. Nyman, Ph.D.

      Affiliations

    • University of Minnesota School of Public Health, Minneapolis, MN 55455, USA
    • Tel.: +1 612 626 4425; fax: +1 612 624 2196.

References 

  1. Blumenthal D. Controlling health care expenditures. N Engl J Med. 2001;344:766–769
  2. Oberlander J. The U.S. health care system: on a road to nowhere?. Can Med Assoc J. 2002;167:163–168
  3. Levit KS, Cowan C, Lazenby C, et al. Trends in U.S. health care spending, 2001. Health Aff. 2003;22:154–155
  4. CMS . The CMS Chart Series. Washington, DC: Center for Medicare and Medicaid Services; 2001;
  5. NIHCM . Prescription Drug Expenditures in 2001: Another Year of Escalating Costs. Washington, DC: National Institute for Health Care Management; Research and Educational Foundation; 2002;
  6. Dubois RW, Chawla AJ, Neslusan CA, Smith MW, Wade S. Explaining drug spending trends. Health Aff. 2000;19:231–239
  7. NIHCM . Prescription Drugs and Mass Media Advertising, 2000. Washington, DC: National Institute for Health Care Management; 2001;
  8. Leibowitz A, Manning WG, Newhouse JP. The demand for prescription drugs as a function of cost-sharing. Soc Sci Med. 1985;21:1063–1069
  9. Manning WG, Newhouse JP, Duan N, et al. Health insurance and the demand for medical care: a randomized experiment. Am Econ Rev. 1987;77:251–277
  10. Schommer JC, Doucette , William R, Mehta , Bella H. Rote learning after exposure to a direct-to-consumer television advertisement for a prescription drug. Clin Ther. 1998;20:617–632
  11. Findlay SD. Direct-to-consumer promotion of prescription drugs: economic implications for patients, payers and providers. Pharmacoeconomics. 2001;19:109–119
  12. Wilkes M, Bell RA, Kravitz RL. Direct-to-consumer prescription drug advertising: trends, impact, and implications. Health Aff. 2000;19:110–128
  13. Weissman JS, Blumenthal D, Silk AJ, et al. Physicians report on patient encounters involving direct-to-consumer advertising. Health Aff (Millwood). 2004;
  14. Murray E, Lo B, Pollack L, Donelan K, Lee K. Direct-to-consumer advertising: public perceptions of its effects on health behaviors, health care, and the doctor-patient relationship. J Am Board Fam Pract. 2004;17:6–18
  15. Business and Health Institute . Rx Coverage and Consumer Ads: A Costly Combo. Montvale, NJ: Business and Health Institute; DataWatch; 1998;
  16. Merlis M. Explaining the Growth in Prescription Drug Spending: A Review of Recent Studies. Washington, DC: Institute for Health Policy Solutions; 2000;
  17. Coulson NE, Terza JV, Neslusan CA, Stuart B. Estimating the moral-hazard effect of supplemental medical insurance in the demand for prescription drugs by the elderly. Am Econ Rev. 1995;85:122–126
  18. Artz MB, Hadsall RS, Schondelmeyer SW. Impact of generosity level of outpatient prescription drug coverage on prescription drug events and expenditure among older persons. Am J Public Health. 2002;92:1257–1263
  19. Zachary WM, Shepherd MD, Hinch M, et al. Relationship between direct-to-consumer advertising and physician diagnosing and prescribing. Am J Health Syst Pharm. 2002;59:42–49
  20. Vogel RJ, Ramachandran S, Zachry WM. A 3-stage model for assessing the probable economic effects of direct-to-consumer advertising of pharmaceuticals. Clin Ther. 2003;25:309–329
  21. De Sloover Koch Y, Ernst ME, Kelly MW. Patient perceptions about drug advertising and prescription-to-nonprescription switches. Am J Health Syst Pharm. 2002;59:1568
  22. Liang SY, Phillips KA, Tye S, Haas JS, Sakowski J. Does patient cost sharing matter? Its impact on recommended versus controversial cancer screening services. Am J Manag Care. 2004;10:99–107
  23. Balkrishnan R, Byerly WG, Camacho FT, Shrestha A, Anderson RT. Effect of prescription benefit changes on medical care utilization in a Medicare HMO population. Am J Manag Care. 2001;7:1093–1100
  24. Ganther-Urmie JM, Nair KV, Valuck R, McCollum M, Lewis SJ, Turpin RS. Consumer attitudes and factors related to prescription switching decisions in multitier copayment drug benefit plans. Am J Manag Care. 2004;10:201–208
  25. Aikin KJ, Swasy JL. Direct-to-consumer advertising of prescription drugs: impact of asking for information about treatment cost. Available at: http://www.fda.gov/cder/ddmac/Presentations/KitFDLI2002aout/index 2002;Accessed October 3, 2003
  26. Andersen R, Newman J. Societal and individual determinants of medical care utilization in the United States. Milbank Mem Fund Q Health Soc. 1973;51:95–124
  27. Andersen R, Aday L. Access to medical care in the U.S.: realized and potential. Med Care. 1978;16:533–546
  28. Aday LR, Andersen R. A framework for the study of access to medical care. Health Serv Res. 1974;9:208–220
  29. Cardinale V. Drug Topics Redbook. Montvale, NJ: Medical Economics Co; 1999;
  30. MEDSTAT Group . MEDSTAT MarketScan Users Manual. Ann Harbor, Mich: Thompson Company; 2001;
  31. Nielsen Media Research, Inc . Nielsen media research 1998 report on television. New York: Nielsen Media Research, Inc; 1998;
  32. Nielsen Media Research, Inc . Nielsen media research local universe estimates. Available at: http://www.nielsenmedia.com 2003;Accessed October 3, 2003
  33. Smith M. Pharmaceutical Marketing; Strategies and Cases. Binghamton: Pharmaceutical Products Press; 1991;
  34. U.S. Census Bureau . 1997 Economic Census Maps. Available at: http://www.census.gov/prod/www/abs/97ecmapsAccessed October 3, 2003
  35. Deyo RA, Cherkin DC, Ciol MA. Adapting a clinical comorbidity index for use with ICD-9-CM administrative databases. J Clin Epidemiol. 1992;45:613–619
  36. STATA . STATA Release 8. College Station, Tex: STATA Corporation; 2003;
  37. Robinson AR, Hohmann KB, Rifkin JI, et al. Direct-to-consumer pharmaceutical advertising: physician and public opinion and potential effects on the physician-patient relationship. Arch Intern Med. 2004;164:427–432
  38. Remler DK, Atherly AJ. Health status and heterogeneity of cost-sharing responsiveness: how do sick people respond to cost-sharing?. Health Econ. 2003;12:269–280
  39. Hillman AL, Pauly MV, Escarce JJ, et al. Financial incentives and drug spending. Health Aff. 1999;18:189–200

☆ Sources of support: Funding for this research was provided, in part, through a doctoral fellowship sponsored by the American Foundation for Pharmaceutical Education. Data sources were donated by MEDSTAT MarketScan® and Competitive Media Reporting.

PII: S1551-7411(05)00034-3

doi: 10.1016/j.sapharm.2005.03.002

Research in Social and Administrative Pharmacy
Volume 1, Issue 2 , Pages 139-157 , June 2005

Article Tools

* Image Usage & Resolution