Today, the Texas Public Policy Foundation condemned the newly unveiled plan from the Biden administration to “negotiate” for lower drug prices in Medicare, an approach that will almost certainly involve price controls on prescription drugs. Such an approach by the White House ignores the long track record of unintended consequences from previous price control measures and will result in limited patient access and increased costs for taxpayers.
“The government doesn’t negotiate anything, it mandates. The fixing of prices has been a disaster everywhere it’s been done, leaving in their wake harmful unintended consequences,” said David Balat, director of TPPF’s Right on Healthcare initiative. “This approach by the administration fails to recognize all cost drivers involved in the pharmaceutical supply chain.”