Costly Cures

New drug regimens that can cost $100,000 or more are frustrating insurers, employers, physicians and patients who cannot afford rising prices, suggests an article from the Economist. The release of new and expensive medicines has spurred “a coalition ranging from doctors to labor unions to launch a campaign against ‘unsustainable and abusive’ prices.” Many within the industry defend high US prices, and one spokesman suggests those “subsidize innovation that benefits patients worldwide” – in other words, research for new drugs. But politicians and patients contend the innovation matters little if most patients cannot afford the expensive treatments. Price controls and tough stances from insurers, including demands for evidence on efficacy, are inevitable for the United States. Other countries pay less for the same medications: Socialized medicine programs in Canada and the UK negotiate huge discounts and analyze costs against benefits, while some developing nations ignore simply patents. – YaleGlobal