Informational Shocks, Off-Label Prescribing and the Effects of Physician Detailing
Management Science, Forthcoming
45 Pages Posted: 17 Jun 2015 Last revised: 19 Jan 2018
Date Written: July 19, 2017
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 anti-psychotic 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.
Keywords: Pharmaceutical Detailing, Sales Force, Off-Label Prescribing, Regulation, Advertising
JEL Classification: M31, M37, L00, H51, I11
Suggested Citation: Suggested Citation