Drug price confusion: Trump talks big, but can he deliver? | AEI

In his usual fashion he could draw some superficial or highly specific (and hence meaningless) price reductions by a Twitter storm against various EU nations. But to really have an impact he’d have to work in concert with manufacturers and support their withholding product sales into EU until higher prices were paid.

It is both equitable and efficient for tiering of medicine prices based on several factors, notably ability to pay. That pricing rarely reflects this reality does not mean it is not the best approach.

If the Trump administration can push transparent pricing and greater competition here, and push for wealthy foreigners to pay more and poorer Americans to pay less, then he will have achieved something significant. We shall see.

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Drug price confusion: Trump talks big, but can he deliver? – AEI.