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1 * : :: * m.nakhae@gmail.com : 93/7/5 : 93/3/17 : :... : Eviews. 0/92 ±0/18 : 0/08. 0/37 ±0/12. 0/63. 0/94 ±0/09 0/35 ±0/11. :.. :..(4) (1).(3 2)

2 Excel. 7 E-views 1.. () - : ln(p.q)= a 0 + a 1 lnp+ a 2 lnp h + a 3 lni+a 4 lninexp+ a 5 lnoutexp+ a 6 lninsur+u t P.Q P h P inexp. I insur outexp. (a 2 )(1-a 1 ) (a 3 ) (a 4 ) (a 6 ) (a 5 ) U t.. 1 Panel Data 20.(2) 11/5 9 7 (5) %19/ (6).(7).(8)..(9)

3 ) -3 ( t p lnp 0/925 0/182 4/31 <0/001 lnp h 0/0003 0/023 0/02 0/988 lni 0/350 0/117 3/06 0/ 003 lnoutexp 0/306 0/046 4/56 <0/001 lninexp 0/045 0/020 2/36 0/019 lninsur 0/086 0/057 0/95 0/342 (c) R-Squared=0/75 F-statistic=139/21 P-valu>F=<0/001-3/126 1/451-2/23 0/027 0/92.. 0/92 (1-0/92) 0/08. %1 3. %0/08. %0/ pooled panel F. Pooled F H 0.. Panel H (10) F H 0 (F=4/616) (F=10/089).. ( Pool) Test summary Period random Chi-squared 152/65 P <0/ (2) -2 Test summary Period random 2 Limer 3 Fixed effect 4 Random effect 5 Hausman Chi-squared 5 /897 p 0 /207. F

4 /310/05 0/09.. R-squared 0/75. F 139/21.(p<0/05) Eviews ) ( p t 0/002 3/043 0/123 0/377 lnp 0/474-0/716 0/017-0/012 lnp h 001 <0/ 10/137 0/093 0/945 lni 0/001 3/267 0/029 0/096 lnoutexp <0/001 3/812 0/018 0/068 lninexp 0/049-1/976 0/044-0/087 lninsur <0/001-5/658 1/066-5/980 (c) R-squared=0/74 F-Statistic= 109/73 <Prob(F-statistic)=0/001 0/37 0/37. 0/63 (1-0/37).. ) (. 0/94 0/94. () 0/10/07-0/08. R-squared.0/74 F 109/73.(p<0/05).. 0/08 0/63 %1 %1. ) (. ()...

5 : (0/35) (0/95). %0/35 %1. %0/ (11) 7 %0/1 %0/97 %0/1 %0/91.(12). -0/48 0/51..(13) (14). (15). 7 Thomas Stratmann Department of Economics 8 George Mason University 9 Santerre & Vernon

6 References 1- Sketris IS, Langille IE, Lummis HL. Strategic opportunities for effective optimal prescribing and medication management. The Canadian Journal of Clinical Pharmacology (Journal Canadien de Pharmacologieclinique) 2008; 16(1):e Amani F, Shaker A. Patterns of drug use among urban households in Ardabil. Payavard Salamat 2011; 5(5): (in Persian) 3- Basmanchi K, Izadi S, Akhavan Behbahani A. Study about Pharmaceutical in IRI. Tehran: Social Studies Office; (in Persian) 4- Javidannezhad S. Drug information. Tehran University of Medical Sciences: Drug Information Center, College of Pharmacy; (in Persian) 5- Zareshahi R, Sohrevardi M, Baruni M. Estimating of Pharmaceutical Demand Function Based on Family Budget in Kerman Province: Kerman, Iran: Kerman University of Medical Sciences; (in Persian) 6- Baldini CG, Culley EJ. Estimated cost savings associated with the transfer of office-administered specialty pharmaceuticals to a specialty pharmacy provider in a Medical Injectable Drug program. Journal of Managed Care Pharmacy 2010;17(1): Blazer DG, Wu L-T. The epidemiology of substance use and disorders among middle aged and elderly community adults:... National survey on drug use and health. The American Journal of Geriatric Psychiatry 2009;17(3): Baily MN. Research and development costs and returns: the US pharmaceutical industry. The Journal of Political Economy 1972: Ahmadian M, Ebadi J. Issues and Applications of Consumption Theory in Microeconomics. Tehran University Publication; 1983: (in Persian) 10- Gujarati DN, Madsen J. Basic econometrics;1998: Hajigholi N. Estimating of Pharmaceutical Demand Function in Iran. Tehran, Iran: Azad University of Tehran; (in Persian) 12- Klick J, Stratmann T. How sensitive are seniors to the price of prescription drugs. Tallahassee, Florida State University College of Law; Santerre R, Vernon J. Private Consumer Demand for Pharmaceuticals in the US: Own-Price, Cross-Price, and Income Elasticities; Jahangiri G. Estimating of Drug Demand Function in Iran. Tehran, Iran: Tehran; (in Persian) 15- Ghaderi H, Hadian M, Eghbali M. Estimating of Drug Demand Function at East Azerbayijan Based on Family Budget: Tehran, Iran: Iran University of Medical Sciences; (in Persian)

7 241 Estimation of Medication Demand Function in Iranian Households using Panel Data, Emamgholipour Sefiddashti S 1 (PhD), Rashidian A 1 (MD, PhD), Nakhaee M 2 (PhD Student) Abstract 1 Department of Health Management and Economics, School of Public Health, Tehran University of Medical Sciences, Tehran, Iran 2 Health Management and Economics Research Center, School of Health Management & Information Sciences, Iran University of Medical Sciences, Tehran, Iran Original Article Received: 7 Jun 2014, Accepted: 27 Sep 2014 Introduction: Growth of pharmaceutical spending leads to rising health care expenses. Pharmaceutical costs may increase due to price increases, increase in the amount of medications, or both of them. The aim of this study was to analyze factors affecting demand and costs of pharmaceutical in Iranian households. Methods: In this study, we used a panel analysis approach to analyze retrospective time-series data. Data were obtained from the provincial samples of urban and rural household surveys of the Statistical Center of Iran in 30 provinces during 2004 to We used the Eviews to assess the determinants of medication demand function. Results: The coefficient of medication price logarithm was 0.92±0.18 and 0.37±0.12 among urban and rural households, respectively. The price elasticity of medications was 0.08 among urban households and 0.63 among rural households. Although the demand of medication for both urban and rural households was inelastic, rural households were more sensitive to the price changes. The coefficient of income logarithm indicated that income elasticity of medication expenses was 0.35±0.11 for urban and 0.94±0.09 for rural households. It showed that for both urban and rural household groups, the medication use was necessary. Conclusion: Regarding medication inelastic demand among urban and rural households, increasing medication price decreased the medication use; however it resulted in more pressure on low income households. Keywords: income elasticity, price elasticity, medicine expenditures, demand function, Iranian households Please cite this article as follows: Emamgholipour Sefiddashti S, Rashidian A, Nakhaee M. Estimation of Medication Demand Function in Iranian Households using Panel Data, Hakim Health Sys Res 2014; 17(3): Corresponding Author: Valiasr avenue, Rashid yasemi avenue, School of Health Management and Information Sciences, Iran University of Medical Sciences, Tehran, Iran, postal code: Tel: m.nakhae@gmail.com 66 93

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