Why drugs cost more in America
Vox・4 minutes read
EpiPen and other prescription drugs are significantly cheaper in the UK compared to the US, with the UK's regulated market leading to lower costs for citizens while the US system allows drug companies to charge higher prices, resulting in Americans subsidizing drug costs globally but facing unaffordable medication.
Insights
- In the UK, government regulation and price negotiations lead to lower drug costs for citizens, while in the US, medications are sold at any price set by companies, resulting in higher costs for Americans.
- The US system allows drug companies to charge more for medications, causing Americans to subsidize drug costs globally, resulting in a situation where the US has more drugs available but often unaffordable, leading many to skip medication due to costs.
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Recent questions
Why are drug prices higher in the US?
Lack of government price negotiations leads to higher costs.
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Summary
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US Drug Prices: High, Unregulated, Unaffordable, Global Impact
- EpiPen is a device that administers adrenaline for severe allergic reactions, costing $38 in the UK and $300 in the US, with other prescription drugs like Advair, Lantus, Sovaldi, Humira, and Crestor being more expensive in the US.
- In the UK, drugs like Sovaldi undergo safety evaluation, regulatory assessment, price negotiations by the government, leading to lower costs for citizens, while in the US, drugs are only evaluated for safety, sold by companies at any price, resulting in higher costs for Americans.
- The US system allows drug companies to charge more for medications, leading to Americans subsidizing drug costs globally, with regulated markets making drugs more affordable but sometimes unavailable, while the US has more drugs available but often unaffordable, causing many to skip medication due to costs.
