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Management Science Vol. 64 No. 12 2018

Informational Shocks, Off-Label Prescribing, and the Effects of Physician Detailing

Bradley Shapiro

Booth School of Business, University of Chicago, Chicago, Illinois 60637

Abstract

The relationship between pharmaceutical detailing and prescriptions for non-FDA-approved (off-label) use has been the subject of regulatory scrutiny, with more than $12 billion in regulatory settlements for off-label promotion since 2004. Using the case of AstraZeneca’s antipsychotic drug, Seroquel, I study the extent to which off-label prescriptions are caused by detailing. Using a physician panel that connects detailing exposure to medical charts, I exploit within-physician variation to identify detailing effects. I find the effect of detailing on off-label prescriptions is small in both absolute and relative terms. Detailing on net tilts the prescribing distribution toward on-label.

DOI
10.1287/mnsc.2017.2899
Volume
64
Issue
12
Pages
5925-5945
Language
en
Sources
bibtex:phds-export.bib openalex crossref

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