The Response of Drug Expenditure to Nonlinear Contract Design: Evidence from Medicare Part D *
We study the demand response to nonlinear price schedules using data on insurance contracts and prescription drug purchases in Medicare Part D. We exploit the kink in individuals' budgets set created by the famous "donut hole," where insurance becomes discontinuously much less generou...
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| Format: | Article |
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Oxford University Press (OUP)
2018
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| Online Access: | http://hdl.handle.net/1721.1/113885 https://orcid.org/0000-0002-9941-6684 |