OnDemand WTP Pricing Research

Congress and regulators slow to respond to drug pricing and shortage problem | TheHill

Conversely, unethical pharmaceutical companies continue their practice of price gouging, a naked effort to maximize short-term profits at the expense of patients who desperately need their medications. More than 300 generic drugs had price increases of 100 percent or more between 2010 and 2015, according to a U.S. Government Accountability Office report on Medicare drug prices.

Nearly 50 of those price increases were by 500 percent or higher, and 15 were 1,000 percent or higher. For example, the price for a 100 tablet bottle of the generic asthma drug Albuterol Sulfate soared from $11 to $434. Pricing for the antibiotic Doxycycline Hyclate jumped from $20 to $1,849 for bottle of 500 tablets. Such irresponsible corporate behavior demands forceful action.

When medicines are either unavailable or unaffordable, it is no simple task to locate and use an alternative. Shortages result in delays or cancellation of needed patient care, according to two-thirds of hospital pharmacists surveyed by the American Journal of Health-System Pharmacy. Beyond health risks, there is added expense. Therapeutic drug substitutes cost hospitals at least $200 million every year.

President Trump has stated that one of his “greatest priorities” is reducing prescription drug prices. So he should use his power under the 2003 Medicare Prescription Drug, Improvement and Modernization Act that permits the importation from Canada of selected drugs in short supply or those that have only one U.S. supplier. Lower priced drugs should also be selectively imported from European Union countries in response to price gouging or shortages. Targretin, for example, can be purchased in Great Britain for $75 per capsule, about one-quarter of the cost in the U.S.

The most efficient approach would be for the FDA to inspect pharmaceutical manufacturing facilities outside the United States to assure quality. Those that are pre-approved would be able to help the United States respond swiftly to price gouging or shortages. Indeed, those generic drugs currently available from only one company should be immediately approved for importation from a pre-approved manufacturer.

The fact that drug prices are substantially higher in the United States than the rest of the world means U.S. consumers effectively are paying for the pharmaceutical research and development that benefits all mankind.

Read complete article here:

Congress and regulators slow to respond to drug pricing and shortage problem | TheHill.

Post a Comment

WP-SpamFree by Pole Position Marketing