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To Charge or Not to Charge: Evidence from a Health Products Experiment in Uganda

Greg Fischer, Dean Karlan (), Margaret McConnell and Pia Raffler
Additional contact information
Greg Fischer: London School of Economics and Political Science
Margaret McConnell: Harvard University
Pia Raffler: Yale University

Working Papers from Yale University, Department of Economics

Abstract: In a field experiment in Uganda, we find that demand after a free distribution of three health products is lower than after a sale distribution. This contrasts with work on insecticide-treated bed nets, highlighting the importance of product characteristics in determining pricing policy. We put forward a model to illustrate the potential tension between two important factors, learning and anchoring, and then test this model with three products selected specifically for their variation in the scope for learning. We find the rank order of shifts in demand matches with the theoretical prediction, although the differences are not statistically significant.

JEL-codes: D11 D12 D83 I11 I18 O12 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-exp, nep-ger and nep-hea
Date: 2014-10
References: Add references at CitEc
Citations: View citations in EconPapers (10) Track citations by RSS feed

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http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2439962

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Working Paper: To Charge or Not to Charge: Evidence from a Health Products Experiment in Uganda (2014) Downloads
Working Paper: To Charge or Not to Charge: Evidence from a Health Products Experiment in Uganda (2014) Downloads
Working Paper: To Charge or Not to Charge: Evidence from a Health Products Experiment in Uganda (2014) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:ecl:yaleco:133

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