The Factors that Contribute to the Growth in Medications
The country’s spending on medications is usually determined by three possible factors: the volume of drugs consumed and population of the country, drug utilization per individual, and the type and price of the drug itself (“Prescription drug prices higher in the U.S. than other countries,” 2021). However, in the U.S., the general inflation, which the health care policy has failed to control, is the main factor leading to the increase and growth of medication costs.
Regulation of Pharmaceuticals in the United States
The pharmaceuticals in the U.S. should be regulated since many countries worldwide have imposed regulations on all companies involved in pharmaceutical operations. Such initiative protects citizens from hazardous and harmful drug impacts. Furthermore, these regulations are made to prolong the procedure to allow the newly innovated pharmaceuticals to the market. To ensure such regulations are followed, there should be a body responsible for regulating and over sighting the entire pharmaceutical industry.
The Impact of Medication Costs for the Uninsured
All uninsured Americans are forced to pay more than 60 percent of the estimated value paid by the federal government on all medication drugs (Moore, 2018). This is because the uninsured Americans lack representatives or have no one to negotiate the cost of medication on their behalf, unlike the insured. As a result, the federal government negotiates the cost of medication for the insured on their behalf, and they pay fewer amounts than the uninsured.
Actions that Could be Taken to Reduce Medication Costs
Generally, there is no proper balance of incentive made within the pharmaceutical sector to allow innovation and invention of new drugs while maintaining biosimilar price and practical generic completion in the United States (“Biosimilars: An effective treatment at a lower cost,” 2020).To reduce medication costs in the United States, Congress should reform the entire system in charge of innovation and competition rather than focusing on price regulation only. It should link the price concessions to innovation-friendly policies while protecting the newly manufactured drugs from monopolistic competition.
References
Biosimilars: An effective treatment at a lower cost. (2020). Research Outreach, 116. Web.
Jones, L. K. (2019). Rising medication costs for patients with neurologic disorders about medication costs. Neurology, 92(22), e2622–e2625. Web.
Moore, G. T. (2018). Let’s Provide Primary Care to All Uninsured Americans—Now! JAMA, 319(21), 2240. Web.
Prescription drug prices are higher in the U.S. than in other countries. (2021). PharmacoEconomics & Outcomes News, 871(1), 30–30. Web.