A Prescription for Sticker Shock Caused by Drug Costs

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The New York Times.

Attention, buyers of prescription drugs, and I know there are millions out there, like me, who are frustrated with the maddening obstacles to obtaining prescribed medications with your insurance.

[su_pullquote]“Escalating drug prices have alarmed physicians and the American public and led to calls for government price controls.”[/su_pullquote]

My doctor calls the system byzantine, and a rip-off that does not allow the government, including Medicare, to negotiate costs with drug companies, instead allowing them to charge whatever they think the market will bear.

“Escalating drug prices have alarmed physicians and the American public and led to calls for government price controls,” Peter J. Neumann and Joshua T. Cohen of Tufts University Medical Center wrote last week in The New England Journal of Medicine. Most companies maintain that drug prices should be be based on research, development and production costs, but Dr. Neumann and Dr. Cohen suggested that drug prices should reflect the value they provide, considering such factors as health benefits and cost-effectiveness.

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