Why Are Prescription Drug Prices So High?

eAlert 1d3b0f60-a6d1-4167-b172-8e7fb1b9a85d

<p>Increased prescription drug prices and spending are among the main drivers of health care costs in the U.S. About one-third of the rise in prescription spending from 2010 to 2014 was a result of either price increases for drugs or a shift toward prescribing higher-price products, with patients caught in the middle. </p><p>A new issue brief by former Rep. Henry Waxman and his colleagues at Waxman Strategies summarizes major problems behind high U.S. prescription drug prices, while also offering feasible policy actions. For instance, the authors identify the use of patent protection and market exclusivity laws by brand-name drug manufacturers as one driver of high prices. </p>
<p>Among other potential solutions, the authors suggest introducing price competition sooner for such drugs and making government-purchasing arrangements for medications that protect public health. </p>

http://www.commonwealthfund.org/publications/newsletters/ealerts/2017/jul/high-rx-prices Read the brief