Health Economics Seminar with Mireille Jacobson: Price Sensitivity and Information Barriers to the Take-up of Naloxone

Mireille Jacobson, PhD, is an associate professor at the USC Leonard Davis School of Gerontology. She is an applied micro-economist with a diverse portfolio of research united by an interest in understanding how health care policies and incentives in health care markets affect well-being.

Title: Price Sensitivity and Information Barriers to the Take-up of Naloxone (Joint with David Power of RAND)

Abstract: We conducted a field experiment that randomized advertisements, advertisement content, and sales price across 2,204counties in the United States to study the impacts on online purchases of naloxone, an opioid overdose reversal drug. Advertising increased website visits but only impacted purchases when combined with a price reduction. Messages emphasizing the discreet nature of online sales had no additional impact on purchases. Comparing counties with advertisements featuring a highly discounted price to those featuring the full price, we estimate a price elasticity of demand for online naloxone of -0.78. Price is a significant barrier to online purchases of this life-saving medication.