Charles Explorer logo
🇬🇧

Application of Behavioral Economics and its Nudge Theory in Health Policy

Publication at Faculty of Social Sciences |
2022

Abstract

The article focuses on the use of modern knowledge of behavioral economics and its theory of nudge in public and social policy. Improper handling of unused medicines by their users brings social losses.

Failure to follow the dosage and instructions for use of drugs results in increased consumption, excessive accumulation and the resulting problem of medicine disposal. This induces additional costs on the public expenditure side.

Improper handling of unused medicines causes negative externalities due to contamination of the natural environment. Although the use of unused medicine is regulated by law, some patients ignore these regulations.

The research (conducted by the team of Muthová Jakuš N., Meričková Mikušová, B., Kovács R.) examines the impact of nudging in the form of additional information on the return of unused medicines to the pharmacy in the Slovak Republic. Empirical analysis showed that nudging in the form of additional information had a positive impact on patients' behavior.

Respondents who were provided with additional information on medicine handling in the information campaign (in the form of leaflets) showed a 10% increase in the claimed return on unused medicine compared to the control group, which was not nudged. Nudging by additional information can therefore be considered as an effective tool how to increase the efficient handling of unused medicines.