How the Democrats say they'd lower drug prices:
All 10 Democratic candidates for president who’ve qualified for the debate on Thursday, September 12 have voiced support for various pieces of legislation to lower drug prices. Some of their ideas even align with proposals from President Donald Trump, including letting Medicare negotiate drug prices with pharmaceutical companies. And all would take some freedom away from drug makers for setting, and changing, prices.
Other countries routinely price drugs by taking an international view, notes Falguni Sen, professor of strategy and statistics at the Fordham University Gabelli School of Business in New York. But they use a benchmark against the U.S., because we’re usually the first ones to enter the market with a particular price,” says Sen. “Now [Harris] is saying ‘we’re going to reverse that.’”
“The solution here is not to replace markets, but to fix them,” Warren said in a statement at the time. The proposed law, she added, “will introduce more competition into the prescription drug market and bring down prices for consumers.” And the government would likely face the same challenges that have driven many drug makers out of the generic market, including unpredictable costs and supplies of raw materials. “To the extent there are pricing or supply issues, the government as a manufacturer would run into the same issues that have faced the private market,” Parish says.Several of the 2020 candidates are also talking up ideas that have been proposed in the past.
Interestingly, Trump proposed a similar drug-importation plan a few days after Sanders made that trip. But health authorities in Canada spoke out against the plan, fearing it will exacerbate drug shortages there.
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