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Competitive problems in the drug industry hearings before the subcommittee on monopoly of the select committee on small business united states senate ninetieth congress first and second sessions on present status of competition in the pharmaceutical industry by united states congress senate select committee on small business. Competitive problems in the drug industry hearings before subcommittee on monopoly and anticompetitive activities of the select committee on small business pt25 skip to page content skip to text only view of this item competitive problems in the drug industry hearings pt25 about this book united states view full catalog record. Box 7 1 empirical studies on the role of patents in spurring innovation in the pharmaceutical industry empirical studies have shown that patents play an essential role in spurring innovation in the pharmaceutical industry one study conducted by edwin mansfield analyzed a random sample of 100 firms excluding very small firms from twelve broadly defined industries. Purpose the purpose of the hearing is to determine why drug companies are increasing prices so dramatically how drug companies are using the proceeds and what steps can be taken to reduce prescription drug prices background the committee is investigating the actions of drug companies in raising prescription drug prices in the united states as well as the effects of these. The fdas drug competition action plan dcap encourages robust and timely market competition for generic drugs and helps bring greater efficiency and transparency to the generic drug review