THE EFFECT OF PRICE INCREASES ON CONTRACEPTIVE SALES IN BANGLADESH

In April 1990, the prices of five brands of contraceptives in the Bang ladesh social marketing project were increased, by an average of 60%. The impact on condom sales was immediate and severe, with sales for th e following 12 months dropping by 46% from the average during the prec eding 12 months. The effect on oral contraceptive sales was less drama tic: average sales in the year following the increases dropped slightl y despite a previously established pattern of rapidly rising sales. Th ere appears no reasonable combination of events other than the price i ncrease itself to explain most of the difference.