Category Archives: Article Summary

Older Americans paying the price for brand name prescription drugs

KEY TAKEAWAY:Retail prices for widely used brand name prescription drugs increased substantially faster than general inflation in every year from 2006 to 2015. Between 2014 and 2015, retail prices for 268 brand name prescription drugs widely used by older Americans, including Medicare beneficiaries, increased by an average of 15.5 percent. In contrast, the general inflation rate was 0.1 percent over the same period. Continue reading

Why drug prices are so high

083115_diabetescost_THUMB_LARGEWall Street investors, from 2012 to the middle of 2015, have poured more than $50 billion in new capital into the pharma industry, according to Leerink, an investment bank that does equity research.  That influx of cash shifted the character of the industry, says John Rother, head of the nonpartisan advocacy group National Coalition on Health Care. Instead of focusing on time-consuming R&D, drug companies began worrying more about delivering short-term gains to shareholders, he explains. Continue reading