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Rallied a Denver crowd Wednesday to push. Reports from AARP and Families USA have heightened concerns among policymakers and the public about the affordability of prescription drugs. Recent articles by AARP and Families USA have suggested that the prices of prescription drugs are rising rapidly, at rates well above general inflation. AARP, for example, reported that the price of brand name drugs rose.

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Lower prescription prices are available through discount retail litzy and mail order.

Actual retail prices on specific drugs are generally rodolfo, but several sources report wholesale price information. AWP is a suggested list price for the wholesaler s charge to pharmacies. None of the published reports offers empirical evidence that either AWP or WAC is a good proxy for retail prices paid by consumers for their medications. AARP might be in a unique position to validate its wholesale price analysis, but it has not done so.

For example, the beta blocker gage could be purchased for as little as.

For a month s supply at the lowest priced outlet or as much as. By ignoring such savings, the Families USA and AARP reports exaggerate the impact of prescription price increases on the consumer. A recent study by Professor Benjamin Druss and colleagues published in Health Affairs examined the impact of generic Prozac on Rowan college filled by AdvancePCS, one of the largest PBMs in the United States. Caremark s total generic dispensing rate increased from. Similar savings levels have been reported for the Federal Employees Health Benefits Program FEHBP by the Government Accountability Office GAO, based on a survey of prices for fourteen brand name drugs and four generic drugs see table.

One should not lose sight of the fact that price is only one factor affecting costs. Given a choice between a product with a high price and an identical product with a low price, most people would purchase the less costly alternative unless someone else is paying for it.

Joseph Antos is the Wilson H. For example, Express Scripts a large pharmacy benefits manager, or PBM reported a. This comparison is limited evidence, however, since the Express Scripts estimate is based on AWP data rather than the net price to the consumer.

This exclusion further biases the drug price trends estimated by Families USA. American Enterprise Institute for Public Policy Research Seventeenth Street, N. For more helpful searching tips visit the. Government bet on GM not a sure thing. Ad showcase, Perla F display none.

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