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1. Dave, D., & Saffer, H. (2012). Impact of Direct-to-Consumer Advertising on Pharmaceutical Prices and Demand. Southern Economic Journal, 79(1), 97-126. Retrieved November 11, 2013, from http://web.ebscohost.com.ezp1.lib.umn.edu/ehost/detail?sid=3d4ba3e1-10ba-4c42-ba37-18cca35f5bef%40sessionmgr10&vid=1&hid=24&bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=keh&AN=79748769 This article examines the impact of DTCA expansion on pharmaceutical expenditures, sales, and prices.
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Why do consumers purchase specific drugs for various ailments, sicknesses or diseases they might have? Why do physicians prescribe certain drugs over competitive drugs that may be available to the public? Why is it that most of us can easily name specific drugs that fit the many ailments of today’s society? On the surface the answer might be as simple as good TV advertising or radio commercials or even internet adds. The truth of matter is the major pharmaceutical manufacturers own the patents on these drugs and this gives them all of the marketing budget and muscle they need to promote the drug and control the pricing.
They serve as compliments to medical procedures; substitutes for surgery or other procedures; and new treatments where there were none previously (Oliver, Lee & Lipton, 2004). As the medical community’s understanding of the human body increases the possibility for new pharmaceutical interventions will increase. Prescription drug coverage is an important issue because many rely on the day to day help they receive from prescription drugs. Furthermore, the elderly and disabled populations are particularly reliant on prescription drugs and have some of the least means to purchase them (Huh, Rice & Ettner, 2008). The combination of limited income and high drug costs can cause people such as seniors to take risks with their health by trying to extend their medications or go without them.
[ONLINE] Available at: http://www.cjem-online.ca/v11/n4/p375. [Accessed 09 December 2013] R. Stephan Parker, Charles E.Pettijohn. (2003). Ethical Considerations in the Use of Direct-To_consumer Advertising and Pharmaceutical Promotions: The Impact on Pharmaceutical Sales and Physicians. Journal of Business Ethics.
The relationship between doctors and drug companies has been well established and well documented. Major news media resources like The Atlantic, as well as professional peer-reviewed journals like the New England Journal of Medicine cover stories addressing the potential ethical puzzles between physicians and pharmaceutical companies. Shaywitz (2013) has described the problem as “a bunch of wicked pushers who pay off vulnerable doctors to prescribe their latest expensive, mediocre product,” while still defending the special relationship that has developed between doctors and pharmaceutical companies (p. 1). Shaywitz’s (2013) argument is based on opinion on estimate only. Most established professional journals imply that collusion between doctors and drug companies leads to a range of problems that potentially harm patients.