In Japan, doctors prescribe drugs and sell the drugs to the patient, receiving a 25 percent markup.
Question:
In Japan, doctors prescribe drugs and sell the drugs to the patient, receiving a 25 percent markup. In the United States, doctors prescribe drugs, but, generally, they do not sell them.
a. Which country prescribes the most drugs? Why?
b. How would a plan to limit the price of old drugs, but not new drugs to allow for innovation, likely affect the drug industry?
c. How might a drug company in the United States encourage a doctor in the United States, where doctors receive nothing for drugs, to prescribe more drugs?
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a Japan prescribes many more drugs than the US because Japanese doctors hav...View the full answer
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