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A comment on FDA promised a ‘lower-cost option’ to EpiPen, but the price isn’t any lower. Parent comment

Re:FDA promised a ‘lower-cost option’ to EpiPen, but the pri... by Someone on Wednesday November 28, 2018 @02:29PM (#18554792)
”Even if the two participants in the market never communicate”

But you can’t get at identical prices without communication between parties. Without communication, initial price setting is as if both companies make a bid in a sealed envelope.

It would be highly unlikely that both bids would be identical, and the lowest bidder with a price above $12.53 makes all the profit.

[ Parent | on HN ]
Re:FDA promised a ‘lower-cost option’ to EpiPen, but the pri... by saint_fiasco on Wednesday November 28, 2018 @03:07PM (#18555145)
The two participants didn't appear at the same time. When the first participant appeared and set the original price, that price became an obvious Schelling point.
[ Parent | on HN ]