Medicare’s negotiations on the cost of medicines could affect how drug research is funded globally
the health strategist . institute
institute for
strategic health transformation
& digital health
Joaquim Cardoso MSc.
Chief Research Officer (CRO): research institute
Chief Editor: knowledge platform
Senior Advisor & Chief Strategy Officer (CSO): Advisory Consulting
September 2, 2023
What is the message?
The world has been heavily reliant on the United States’ pharmaceutical industry for drug research and development, primarily due to the significant amount of money spent on healthcare and research in the U.S.
However, recent moves by the Biden administration to regulate drug prices, particularly for top-selling medicines, could disrupt this global market.
There are concerns that these price controls may lead to unintended consequences, such as a shift in research priorities away from drugs that are most needed and a potential reduction in the number of drugs in development.
While high drug prices in the U.S. have been a source of funding for global medical progress, other countries should also contribute to research and development efforts.
Governments can play a role by funding research into the causes of diseases, supporting clinical trials, and ensuring sales, as seen in the case of Covid vaccines.
There is a need for a more balanced and diversified approach to pharmaceutical research and development, rather than relying solely on the U.S. pharmaceutical industry.
Source: This is a Summary of the article “The world will need to stop piggybacking on US pharma”, published on the “Financial Times”, written by Brooke Masters, on September 1, 2023
To continue reading: https://www.ft.com/content/0c20c518-60a8-4dd0-87be-f03adc8ec0e1
