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Deadweight loss of bacterial resistance due to overtreatment
Author(s) -
Elbasha Elamin H.
Publication year - 2003
Publication title -
health economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.55
H-Index - 109
eISSN - 1099-1050
pISSN - 1057-9230
DOI - 10.1002/hec.702
Subject(s) - deadweight loss , welfare , economics , public economics , antibiotic resistance , resistance (ecology) , medical prescription , antibiotics , medicine , biology , ecology , microbiology and biotechnology , market economy , pharmacology
Abstract Widespread use of antibiotics is considered the major driving force behind the development of antibiotic resistance. The benefits of exceeding the welfare‐maximizing level of antibiotic use are below the costs of resistance created by this excess quantity of antibiotics used, thereby resulting in a welfare deadweight loss. This paper uses a simple economic model to examine the theoretical and empirical aspects of the welfare loss generated by resistance and analyzes its policy implications. The annual deadweight loss associated with outpatient prescriptions for amoxicillin in the United States is estimated at $225 million. Published in 2002 by John Wiley & Sons, Ltd.