Effects of commuting and mode of transportation on performance, affect, cardiovascular activity, and frustration tolerance

It was hypothesized that making a commute elevates blood pressure, causes negative affect, reduces frustration tolerance, and impairs performance on simple and complex cognitive tasks. This hypothesis was tested by varying choice and type of commute in an experiment in which 168 volunteers were randomly assigned to one of six experimental conditions. The behavior of subjects who drove 30 miles or rode on a bus for the same distance were compared with the reactions of students who did not commute. Multivariate analyses of variance indicated that subjects who made the commute showed lower frustration tolerance and deficits on complex cognitive task performance. Commuting also raised pulse and systolic blood pressure. Multivariate analyses of covariance (MANCOVA) were performed in an effort to identify physiological and emotional reactions that may mediate these relations. No mediational relationships were uncovered. ^

Essays on Competition in the Pharmaceutical Industry

Chapter 1: Patents and Entry Competition in the Pharmaceutical Industry: The Role of Marketing Exclusivity Effective patent length for innovation drugs is severely curtailed because of extensive efficacy and safety tests required for FDA approval, raising concern over adequacy of incentives for new drug development. The Hatch-Waxman Act extends patent length for new drugs by five years, but also promotes generic entry by simplifying approval procedures and granting 180-day marketing exclusivity to a first generic entrant before the patent expires. In this paper we present a dynamic model to examine the effect of marketing exclusivity. We find that marketing exclusivity may be redundant and its removal may increase generic firms' profits and social welfare. Chapter 2: Why Authorized Generics?: Theoretical and Empirical Investigations Facing generic competition, the brand-name companies some-times launch generic versions themselves called authorized generics. This practice is puzzling. If it is cannibalization, it cannot be profitable. If it is divisionalization, it should be practiced always instead of sometimes. I explain this phenomenon in terms of switching costs in a model in which the incumbent first develops a customer base to ready itself against generic competition later. I show that only sufficiently low switching costs or large market size justifies launch of AGs. I then use prescription drug data to test those results and find support. Chapter 3: The Merger Paradox and R&D Oligopoly theory says that merger is unprofitable, unless a majority of firms in industry merge. Here, we introduce R&D opportunities to resolve this so-called merger paradox. We have three results. First, when there is one R&D firm, that firm can profitably merge with any number of non-R&D firms. Second, with multiple R&D firms and multiple non-R&D firms, all R&D firms can profitably merge. Third, with two R&D firms and two non-R&D firms, each R&D firms prefer to merge with a non-R&D firm. With three or more than non-R&D firms, however, the R&D firms prefer to merge with each other.