That is the subject of a U.S. Senate listening to final week. One particular person testifying was an economist, USC Professor Darius Lakdawalla. While his full testimony is right here, his key factors of competition are price studying. These embrace:
- The problem for public coverage is to maintain the tempo of medical innovation whereas making certain that invaluable new applied sciences stay reasonably priced and accessible.
- The U.S. is by far the biggest marketplace for prescribed drugs on the planet and the engine of worldwide pharmaceutical innovation. Other international locations, in impact, free experience off the innovation stimulated by the American market.
- Despite steady or falling web costs paid to prescription drug producers over the previous decade novel medicines lie more and more past the monetary attain of American sufferers.
- Blunt worth controls usually are not the answer to the worsening affordability of prescribed drugs or to international free-riding: Schaeffer Center analysis means that introducing European-style pricing insurance policies would cut back Americans’ life expectancy.
- Instead, aligning drug costs with the precise worth offered to sufferers stimulates innovation that advantages sufferers and discourages innovation that doesn’t.
- Legislation to extend drug worth transparency, coupled with higher details about worth,
may help payers and shoppers spend their cash properly. - Affordable and beneficiant insurance coverage for prescribed drugs ensures that medication stay inside the
monetary attain of American households.
You can learn the complete testimony right here, stuffed with hyperlinks to fascinating articles.