Growth and Medication Cost in the United States

The country’s spending on medications usually determined by three possible factors: the volume of drugs consumed and population of the country, drug utilization per individual, and the price and type of drug itself. However, in the U.S., the general inflation, which the health care policy has failed to control, is the main factor leading to the increase and growth of medication cost.

-Regulations of Pharmeceuticals in the United States: The pharmeceuticals in the United States should be regulated since many countries of the world have imposed regulations on all companies involved in pharmeceutical operations. Such initiatives protects citizens from hazardous and harmful drug impacts. Furthermore, these regulations are made to further prolong the procedure to allow the newly innovated drugs to the market. To ensure that such regulations are followed, there should be a body responsible for regulating and oversighting the entire drug industry.

-The Impact of Medication Cost for the Uninsured: All uninsured Americans are forced to pay more than 60% of the estimated value paid by the federal governmen t on all medication drugs. This is because uninsured Americans lack presentatives or have no one to negotiate the cost of medication on their behalf, unlike the insured. As a result, the federal government negotiates the cost of medication for the insured on their behalf, and they pay fewer amounts than the uninsured.

-Actions That Could Be Taken to Reduce Medication Costs: Generally, there is no proper balance of incentive made within the pharmeceutical sector to allow innovation and invention of new drugs while maintaining biosimilar price and practical and generic completion in the United States. To reduce medication costs in the United States, Congress should reform the entire system in charge of innovation and competition rather than focusing on price regulation only. It should leak the price concessions to innovation-friendlt policies while protecting the newly manufactured drugs from monopolistic competition.

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