The market power of reference pricing stems from the fact that the third-party payer covers only a low-priced version of the good or service in question – the "reference price," leaving the recipient buying from a higher-priced vendor to pay out of pocket the entire difference between that higher price and the reference price.
We show that the differences in the Reference Price algorithm between Milan and Paris have a significant effect: the CA attracts greater volumes when the Reference Price is equated to the CA price.
Traders at the Merc buy and sell oil for future delivery, and the price on the Merc serves as the reference price for oil shipments around the world.
"We would recommend that consumers ask sales staff when and for how long the reference price was used and also how many sales they achieved at this price.
Depending on the how the strike price is calculated, there might be an "incentive", the commission noted, for EDF to "behave strategically" to "influence the reference price".
To analyze the medium- to long-term impact of generic substitution and the reference price system on the daily cost of antipsychotics in Finland.
As it is easy for companies to claim they are offering discounts, traditional economics suggests the consumer will anticipate their trickery and ignore the "reference price".
Consequently, if on-patent brand-name drugs were pitted against generic drugs under reference pricing, the prices of on-patent drugs would inevitably collapse to the reference price.
If employees pick a provider charging more than the employer has set as the reference price, employees must pay the difference out of pocket.
It suggests dropping the Malaysian ringgit and using the stronger Singapore dollar to set the reference price at which it intervenes to try to stabilise rubber prices.
The reference price reflects what is reimbursed by health insurance.
