Market Size in Innovation: Theory and Evidence from the Pharmaceutical Industry
利用美国人口趋势带来的外生变化，研究潜在市场规模对非仿制药和新分子实体进入的影响，发现市场规模对制药创新有显著促进作用。
This paper investigates the effect of (potential) market size on entry of new drugs and pharmaceutical innovation. Focusing on exogenous changes driven by U. S. demographic trends, we find a large effect of potential market size on the entry of nongeneric drugs and new molecular entities. These effects are generally robust to controlling for a variety of supply-side factors and changes in the technology of pharmaceutical research.