Should the U.S. set drug prices as Germany does?
Germany revamped its drug pricing system a decade ago, and a new study finds that cancer drug prices negotiated by the government are now more closely aligned with clinical benefits. Just as important, the new approach has led to a 25% drop in drug prices a year after a product was launched. The Health Affairs study’s authors suggest that the U.S. adopt a similar pricing infrastructure.
Notably, the researchers found that while prices decreased markedly, they didn’t bottom out — suggesting that incentives remain for drug makers, STAT’s Ed Silverman writes.
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