Pharmaceuticals: A Market for Producing 'Lemons' and Serious Harm
Incentives and protections for industry encourage development of many drugs with few new benefits over existing pharmaceuticals, but with risk of serious harm to users.
ATLANTA — The pharmaceutical industry is a "market for lemons," a market in which the seller knows much more than the buyer about the product and can profit from selling products less effective and less safe than consumers are led to believe, according to an analysis that will be presented at the 105th Annual Meeting of the American Sociological Association.