The most common and most likely answer to this crossword clue is the 7 letter word PLACEBO
I've seen this crossword clue in The Times
P
L
A
C
E
B
O
More clues leading to the result PLACEBO
- Innocuous medication put down next to retired old boy
- It won't actually cure rank odour
- Sham medicine put old boy back
- Location upset old boy – it’s of no medical benefit
- Dummy put on crate, briefly
- What could have an unexpectedly beneficial effect?
- Recognise personal smell, something that may have an effect in itself
- Sham dose left expert in lead with zero
- Pretend drug put down bog, in the main
- Locate branch office – it does nothing!
Buddy explains!

The straight part
We know that "Innocuous medication" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case innocuous medication = placebo.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does PLACEBO mean?
PLACEBO noun- A dummy medicine containing no active ingredients; an inert treatment.
- The vespers sung in the office for the dead.