The National Institute for Health Care Management (NIHCM) Foundation recently announced the recipients of their 2021 Research Grants. Keith Ericson, Associate Professor of Markets, Public Policy, and Law, and Angie Acquatella, Post-Doctoral Research Fellow, received a research grant, along with their research colleague Amanda Starc from Northwestern University, to study how payment policies impact the pricing of physician-administered drugs.
Physician-administered drugs include treatments for serious illnesses such as Alzheimer’s and cancer. These drugs are also some of the most expensive prescription treatments. This research project will model how Medicare Part B payment policy affects the price path of newly-approved, physician-administered drugs and physician demand for these drugs. The objective is to estimate the impact of the alternative payment policies that Medicare and commercial insurers might adopt for physician-administered drugs.
“I’m excited to study pricing of physician administered drugs, and this grant will make that possible. Drug payment policy matters for how firms set prices, and we aim to identify new payment policies that can make patients better off while preserving incentives for innovation.”
Keith Ericson, Associate Professor of Markets, Public Policy, & Law
The NIHCM Foundation is a nonprofit, nonpartisan organization dedicated to transforming health care through evidence and collaboration. Each year the foundation awards funding to support ground-breaking research on issues crucial to public health and policy. This year, the NIHCM Foundation awarded 11 projects a total of $500,000. In addition to the project led by Ericson, other studies will study topics such as telehealth, mental health care for children, health equity, and health care system management.
Keith M. Marzilli Ericson is an Associate Professor of Markets, Public Policy, and Law at the Boston University Questrom School of Business, and a Faculty Research Fellow at the National Bureau of Economic Research, and co-editor of the Journal of Public Economics and the American Journal of Health Economics. He is also the Faculty Director of the Undergraduate Business Analytics Program at the Questrom School of Business. He has a Ph.D. in Economics from Harvard University.