Which of the Following Statements Is True of the Market

question 65

Multiple Choice

Which of the following statements is true of the market for prescription drugs in the U.S.?

• A)The FDA encourages the entry of new drugs in the market.
• B)The time required to bring a new drug to the market has declined over time.
• C)The drug manufacturing firms enjoy economies of scale,hence the cost of producing new drugs have declined.
• D)More than 60 percent of the biopharmaceutical products approved in the U.S.originated either in Europe or in Japan.
• E)The latest estimate of the cost to develop a new drug and bring it to market exceeds $800 million.

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Definitions:

Aversive Event

An unpleasant or harmful event or stimulus that an individual seeks to avoid or minimize.

Passive Avoidance

A learning process in which animals learn to avoid an aversive stimulus based on previous negative experiences.

Agoraphobia

An anxiety disorder characterized by an intense fear of being in situations where escape might be difficult or help wouldn't be available if things go wrong.

Vicious-Circle Behavior

A self-perpetuating process in which a behavior leads to consequences that increase the likelihood of the behavior recurring, often seen in negative or harmful patterns.