Drug Prices: Preparing for 2021 Congressional Debates and Possible subsequent Implementation

This project has two components. The first aims to create a framework to assess alternative policies to address drug prices and evaluate potential benefits and trade-offs inherent within each option. This would include an assessment of the problems addressed by various pieces of legislation (i.e., out-of-pocket costs, problematic incentives, or high prices) in order to understand their impact on drug spending broadly. The second aim of the project is to identify key design questions and options for implementation of drug-price negotiation that will be particularly relevant for the U.S. Department of Health and Human Services to address during the rulemaking process should Congress pass such legislation. This will include topics such as the selection of drugs for negotiation, how negotiated prices should be determined, and how broadly negotiated prices should apply.