“The burden of out-of-control prescription costs is an issue that touches every family in America,” Pelosi said in her announcement of the new bill. And she’s right. But her bill goes so far that few, if any, Republicans will support it.
, by reforming the way the FDA considers new drugs. Today, the FDA allows drugs in certain categories, like HIV and terminal diseases, to get on the market after phase II studies, allowing manufacturers to collect revenue that can help fund far costlier phase III studies. The FDA could—and should—expand the use of accelerated approval for a broader range of diseases, especially common chronic conditions where R&D costs are currently prohibitive.
” of drugs. These regulations are intended to guarantee access to newly-developed medicines. But they have the disastrous effect of granting manufacturers the leverage to name their price and force it upon patients and taxpayers.where lower-cost alternatives are available. For private insurance in the U.S., this comes in the form of higher copays for drugs with poorer value.
When Medicare negotiates with drug companies, both sides should have the freedom to walk away from the table. But Pelosi and her compatriots are afraid of precisely that outcome, because they fear that such a tough stand would lead patients to complain about loss of access to high-priced drugs.
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