Price elasticity of demand for new and recurring opioid prescriptions

Objective: Several U.S. states have recently enacted excise taxes to curb prescription opioid use and other states are considering similar measures. We assessed the effects of increasing out-of-pocket costs (OPC) on new and recurring opioid fills. Methods: We conducted a retrospective cohort study of opioid-naive individuals presenting with acute back pain using data from a nationwide claims repository. We estimated the effect of OPC on the initiation of opioid treatment in logistic regressions, controlling for socio-demographics, medical history, healthcare utilization, insurance type, and region. With the same covariates plus morphine milligram equivalents and days supplied, we estimated the effect of OPC on the number of opioid fills in negative binomial regressions. We report the price elasticity of demand (PED) for prescription opioids, defined as the percentage change in outcome resulting from a two-fold increase in OPC. Results: Of 25,531 adults diagnosed with acute back pain in Q1 of 2018, 2,451 (9.6%) filled at least one opioid prescription. In multivariable regression, the association between OPC and initiating opioid treatment was not significant (PED= -1.9%; 95% CI: -5.5%, 1.7%). However, by region, the PED was -10.3% (95% CI: -18.1%, -2.4%) in the coastal states and 1.6% (95% CI: -2.5%, 5.7%) in the central-southern states. The PED for the number of prescription fills was -3.7% (95% CI: -7.3%, -0.1%), which also differed by region. In the coastal states, the PED was -15.2% (95% CI: -24.7%, -5.7%) and in the central-southern states -1.5% (95% CI: -5.4%, 2.4%). Conclusions: Opioid fills were price sensitive in the coastal states but not in the central-southern states. Policies that would increase OPC might have a restraining effect on opioid consumption in parts, but not all of the U.S.

Analysis Food Demand of Java Households with Aids Model Estimates

<p>The quantity and quality of food consumed by the community are determined by the price level and household income. Household food expenditure share is still dominated by rice commodities. The aims of this study are 1) to analyze the level of household expenditure on food in Java and (2) to analyze the expenditure elasticity and price elasticity of household food demand in Java. The data used was March 2015, 2016, and 2017 SUSENAS data. Household consumption data was estimated using the AIDS Model. The results showed that household food expenditure share for medium and low-income groups (Q3 and Q4) for urban and rural areas was more than 50 percent. This shows that the household is food insecure. The own-price elasticity for all commodities is negative and inelastic. Changes in food prices do not significantly affect changes in demand for food commodities because their elasticity is inelastic. Household food demand is more influenced by food prices than household income for food commodities except for rice commodities. Rice has elastic expenditure elasticity (means that food demand is very responsive to changes in household expenditure/income. The relationship between each commodity is almost entirely negative (complementary).</p>

The pattern of poor household food consumption: The case of West Java Province

The result of a LA-AIDS showed that the food consumption of poor households in West Java is influenced by its own-price, the price of other commodities, income, number of household members, household location, education of the head of household, and work type of the head of the household. The own-price elasticity identified that the price increase in each commodity group does not affect the consumption of the general food group. The cross-price elasticity of food groups showed more complementary.

Estimating the price elasticity of demand for cigarettes in South Africa using the Deaton approach

ObjectiveTo estimate the price elasticity of demand for South Africa and thereby contribute to growing the evidence base of the likely impact of excise taxes on cigarette demand in low-income and middle-income countries.MethodsWe employ the Deaton method, using wave 5 data from the South African National Income Dynamics Study, to estimate the cigarette price elasticity for South Africa. We used a sample of 6820 households.ResultsOf the 6 820 households in the sample for which we had sufficient data, 1341 (19.7%) spent money on tobacco. The price elasticity of demand for cigarettes is estimated at −0.86 (95% CI −1.37 to −0.35), implying that the demand for cigarettes in South Africa declines by 8.6% for every 10% increase in price.ConclusionThe negative price elasticity estimate for South Africa indicates that increases in the excise tax are particularly effective in controlling cigarette consumption. However, given the presence of a significant illicit tobacco market in the country, it is important that authorities augment tax measures with strategies that curb the illicit trade in cigarettes.

An Analysis of the Income and Price Elasticity of Demand for Housing in View of Price Dynamics on the Residential Property Market

In both the global and the domestic approach, the real estate market is a multifaceted domain of study, constituting a specific and imperfect system. Researchers have to rely on increasingly advanced analytical tools to capture the structural complexity of real estate markets. Real estate prices are influenced by contradictory behaviors of market participants. This observation prompted the authors to analyze the income and price elasticity of demand for housing by calculating elasticity coefficients in view of changes in housing prices and the Veblen effect. This problem was analyzed based on a review of the literature and the results of an experiment. The results of the current study can be used to confirm the presence of the Veblen effect on the housing market based on the adopted criteria. The coefficients of price and income elasticity of demand for housing were calculated in view of the price dynamics on the real estate market to paint a more complete picture of reality and explain market processes.

Wasserverbrauch privater Haushalte in Deutschland: Eine empirische Mikroanalyse

Germany is a rather water-rich country. Nevertheless, climatic changes might make it necessary to use water resources carefully in the future, especially in times of drought. Against this background, this paper estimates the price elasticity of household water consumption, differentiating between households that have a rough knowledge of water prices and households that do not. Based on about 1,100 observations for households living in single-family houses and using the sum of cubic meter prices for water and wastewater as price measure, we find a moderate but statistically significantly non-zero price elasticity of -0.102. Households that have knowledge of water prices tend to exhibit a higher elasticity, while households without price knowledge do not show a statistically significant response in their water consumption. Prices can thus only be used to a limited extent as a means of controlling water consumption.