Deck 10: Promoting Pharmaceutical Access While Controlling Prices and Expenditures

Question 1

Drug usage since the 1990s

A) Remained the same as prior to 1990
B) Has been lower than 1990
C) Has sharply increased since 1990
D) Has not been tracked since 1990

Answer 1

Has sharply increased since 1990

Question 2

Oral antihistamines prescriptions have

A) Decreased
B) Increased
C) Remained the same
D) Not been tracked

Answer 2

Increased

Question 3

Most drugs are produced in volumes that

A) Take advantage of economies of scale in the manufacturing process
B) Are driven solely by patient request
C) Research determines will fit the population need
D) All of the above

Answer 3

Take advantage of economies of scale in the manufacturing process

Question 4

Direct to Consumer Advertising may

A) Have no effect on drug consumption
B) Have minimal effect on drug consumption
C) Lead to increased consumption
D) Lead to decreased consumption

Question 5

The problem of high drug expenditures for the elderly

A) A simple condition that Congress can solve
B) Based totally on Direct to Consumer Advertising
C) Is a Medicaid insurance issue
D) Is a very complicated issue

Question 6

Generic products are priced

A) Higher than the branded drugs
B) Same as the branded drugs
C) Substantially lower than their branded counterparts
D) Are given freely to those on Medicaid

Question 7

Pricing strategies following product introduction include

A) Skimming
B) Penetration
C) Swamping
D) a & b

Question 8

Even though a drug may be similar to others in its therapeutic category in terms of efficacy,

A) it can differ in terms of side effects and adverse reactions
B) It can cost substantially more
C) It's effects can be much more powerful
D) None of the above

Question 9

The GAO report on international comparisons is

A) Considered an exceptional tool for comparison
B) Has conceptual and methodological problems
C) Accounts for generic substitution
D) It relies on discounted prices

Question 10

Drug Prices

A) Are determined by research and development costs
B) Are determined by supply availability
C) Are determined by how valuable they are to consumers
D) Are determined by a cost to charge ratio

Question 11

Americans are content with pharmaceutical expenditures.

Question 12

Pharmaceuticals have a service and manufacturing component.

Question 13

Manufacturing constitutes over half the cost of a drug.

Question 14

Research and development as a fixed cost determine the price of a drug.

Question 15

Generic drugs can differ from the branded counterpart in terms of side effects and adverse reactions.

Question 16

Drug prices are determined by fixed costs related to marketing, manufacturing and research and development.

Question 17

The most important demand side factor in determining the cost of a drug is its therapeutic advance compared to products on the market.

Question 18

Pricing studies that rely on reported prices can be depended upon when applied to insured patients.

Question 19

The same price setting mechanisms are in place for patients and health plan.

Question 20

Physicians have many incentives to limit drug costs.