UNITED WE SPEND For 20 Top-Selling Drugs Worldwide, Big Pharma Revenue from U.S. Sales Combined Exceeded Revenue from the Rest of the World, Public Citizen, Rick Claypool and Zain Rizvi,
I have written on the high prices of pharmaceuticals in the past on Angry Bear, pointing to a WHO report which showed the costs laid out to bring the drugs to market had been recovered, and hinting on a new approach to increasing profitability by claiming increased value due to newer uses as a reason to increase prices. Note the difference between cost and prices.
Public Citizen has a recent article up which breaks down the pricing schemes between the US and the “Rest of The World.” It is a quick read and hits the differences I have been pointing to and will emphasize again and again. We pay too much after companies have recouped their cost of bringing a product to market.
One indicator of a difference in pricing and costs is what countries may pay for a drug(s). Table 1 charts the differences in sales revenues globally and the US.
I am not going to copy and past the entire Public Citizen report here at AB. What Public Citizen has done with their report is emphasize what I have been saying over several years. Don’t conflate prices and costs, they are separate beasts and if you do not know the costs of manufacture and the costs of bring a product to market, it is difficult to ascertain a fair price.
Americans consume comparable amounts of drugs, the same as people in other high-income countries.
In comparison, the US pays far more than what it should on its industry run healthcare. The legislature should pay greater attention to the industry beyond garroting its citizens to reduce increased costs resulting from the ever growing prices. Citizens do not set prices.
The link is here, take some time and read this article. It is not long. In comparison, the US pays far more than what it should on its industry run healthcare. And our legislators should pay greater attention to the industry beyond garroting its citizens to reduce increased costs resulting from the ever growing prices. One point from the Public Citizen article and then I am done.
“U.S. sales of the 20 top-selling drugs totaled $101.1 billion while sales to the rest of the world totaled nearly $57 billion. In other words, the U.S. spent almost double what the rest of the world combined did on these top 20 drugs.”
United We Spend – Public Citizen Site 20 Top-Selling Drugs Worldwide