The high prices Americans pay for drugs has emerged as a major health policy concern. A majority of voters in both the Democratic and Republican parties want the government to take action to lower prices, and lawmakers in both houses of Congress have introduced bills aimed at doing so. Drug companies, meanwhile, argue (as they long have) that negotiating or regulating prices would cripple research budgets, stifle innovation, and lead to fewer treatments in the future.
3 Actions Congress Can Take to Reduce Drug Prices
Saving patients money doesn’t have to hurt business.
February 21, 2020
Summary.
To bring down the high prices of drugs in the United States, Congress should not just focus on regulating prices themselves; it should reform the whole system that governs competition and innovation. Specifically, it should link innovation-friendly policies to price concessions, revamp how long and how thoroughly new drugs enjoy monopoly protection, and remove obstacles to competition from generics.