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Social environment as a barrier to treatment and innovation adoption

Author

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  • Grigolon, Laura
  • Lasio, Laura

Abstract

Lung cancer is associated with smoking and is characterized by low treatment rates and research funds. We estimate a model of treatment choice where patients internalize the negative social environment surrounding the disease, basing their treatment decision on the treatment decisions of their reference group. Identification rests on the exogenous variation in the treatment propensity of physicians. Placing all patients in a neighborhood characterized by low social discrimination increases treatment rates by 7% and the use of innovative therapies by 6%. Social effects account for around 4% less research funding for this disease.

Suggested Citation

  • Grigolon, Laura & Lasio, Laura, 2023. "Social environment as a barrier to treatment and innovation adoption," CEPR Discussion Papers 17938, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:17938
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    File URL: https://cepr.org/publications/DP17938
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    More about this item

    Keywords

    Cancer; Innovation; Stigma; Biased beliefs; Patient choice;
    All these keywords.

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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