Table 2 Nine proposed criteria to evaluate policy proposals addressing the high price of branded prescription drugs in the U.S
From: Branded prescription drug spending: a framework to evaluate policy options
Criterion | Rationale |
|---|---|
Incentivize drug companies to invest in research & development | We assume that policies that increase manufacturer revenues will increase levels of R&D. |
Promote R&D and marketing of high value drugs | Certain drugs provide greater value than other drugs as measured by things incremental cost effectiveness ratios or quality adjusted life years. |
Encourage uptake of high value products | Policies that encourage uptake of high value drugs by promoting value decision making by patients, physicians, and payer. |
Reduce financial barriers to drugs | Policies that reduce drug prices can facilitate greater access to drugs by reducing the financial burden of drugs. |
Lower the overall spending on drugs and medical care | Policies that lower drug prices; reduce drug utilization; or give providers the proper incentives to substitute drugs for other clinical services will lower spending overall and for drugs |
Administrative burden | We assume that policies requiring the FDA or companies to perform additional tasks will add to the administrative burden. |
Facilitate entry to generic market | Policies encouraging providers to choose the less expensive generic can increase demand of generics on the market |
Requirement for legislation | We assume any additional legislative change will prove difficult and policies significantly impacting the pharmaceutical industry will be most difficult to enact. |
Potential for unintended consequences | We assume that there will always some level of unanticipated economic or clinical consequences that result from policies that change the rules or alter stakeholder incentives. |