Prescription drugs are the fastest growing cost in health care with no end in sight.
Here’s the Problem:
Prescription drug prices are set in secret and with no justification. The drug companies claim they need high prices to justify research and development but the reality is that nine out of ten companies spend more on marketing than on R&D.
Drug company profits are skyrocketing in double digits while research and development funding has risen only slightly, according to a recent report published by the Government Accountability Office.
The drug price market isn’t a true market. Because there is no competition and prices are set in secret, companies engage in “shadow pricing,” which means when a new drug comes on the market, prices go down, not up. It’s time to shine the light on how drug prices are truly set.
- High costs affect everyone: patients, providers, employers, taxpayers, hospitals and health plans.
- Most drug companies have seen profits of 17%, well above inflation.
- Prescription drugs cost Americans, on average, twice as much as other industrialized countries for medications.
- Insulin, a drug that has been on the market for decades, increased 300% over the past past ten years. Meanwhile, about 8% of Oregonians suffer from diabetes and too many people are having a hard time keeping up with the skyrocketing costs.
Take action. Contact your lawmaker, go to a town hall, get engaged on social media. Join the campaign today! The pharmaceutical industry is powerful but together we can stand up and bring true transparency to Rx drug pricing.