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Explaining the causal effect of adherence to medication on cholesterol through the marginal patient

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  • Depalo, D.;
Abstract
This paper investigates the relation between adherence to prescribed medication and reduction of cholesterol in Italy, by taking into account the possible sorting of patients into treatment and the heterogeneity of the effect. As predicted by a theoretical model, I find that patients who benefit most from medication are more likely to adhere to prescribed regime than those who benefit least. These results are used to study the effects of three hypothetical policies that aim at increasing the share of patients adherent to prescribed medication: one is directed towards patients, one towards physicians, and one is a policy mix. For each policy, the observable characteristics of patients switched into treatment are described. Although the most effective policy is directed towards patients, the policies differ substantially with respect to the population affected. Therefore, a less effective policy that targets best the desired population may be preferred to the most effective policy. Back of the envelope calculations suggest that even the most expensive policy would be cost-effective.

Suggested Citation

  • Depalo, D.;, 2019. "Explaining the causal effect of adherence to medication on cholesterol through the marginal patient," Health, Econometrics and Data Group (HEDG) Working Papers 19/13, HEDG, c/o Department of Economics, University of York.
    • Handle: RePEc:yor:hectdg:19/13
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    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Chris Sampson’s journal round-up for 28th December 2020
      by Chris Sampson in The Academic Health Economists' Blog on 2020-12-28 12:00:00

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    2. Di Novi, Cinzia & Leporatti, Lucia & Levaggi, Rosella & Montefiori, Marcello, 2022. "Adherence during COVID-19: The role of aging and socio-economics status in shaping drug utilization," Journal of Economic Behavior & Organization, Elsevier, vol. 204(C), pages 1-14.
    3. Lucia Leporatti & Rosella Levaggi & Marcello Montefiori, 2021. "Beyond price: the effects of non-financial barriers on access to drugs and health outcomes," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 22(4), pages 519-529, June.

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    More about this item

    Keywords

    cholesterol; marginal treatment effect; policy evaluation;
    All these keywords.

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

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