In this article, Michael Salinger shows how a dominant firm that faces competition for part but not all of its market can maintain prices above competitive levels by offering cliff discounts with a threshold that allocates some market share to its competitors. To read more, click the link below.
What’s 340B? An economist’s view of the recent wave of 340B litigation
But this change has led to complex relationships among pharmaceutical manufacturers, hospitals, pharmacies, and third-party administrators, increasing...