Drug pricing has been the subject of Congressional inquiries, government investigations, and media attention. Generic drugs have long played an important role in reducing drug prices. Has the recent wave of generic drug company consolidation adversely affected pricing? Are overlap divestitures sufficient? Are prices being fixed, as might be suggested by DOJ’s criminal investigation and related civil litigation? Steven Tenn is a panelist on this topic.
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Assessing umbrella pricing incentives
When collusive agreements involve a subset of firms in an industry, they may create the incentive and ability for firms that are not participants in the cartel...