The High Cost of Prescription Drugs in the United States
According to the Center for American Progress, in 2021, states that about $378 billion was spent on drugs, accounting for at least 1.6% of the U.S. GDP. An increasing drug cost in the U.S. has become a severe healthcare problem that disadvantages millions of people worldwide. The paper discusses the factors driving this problem, such as pharmaceutical monopolies or complex insurance structures. It entails a detailed assessment of the wide-ranging consequences of blockage of access to care and the financial burden on patients and the health system. As a vital part of the process, it also assesses several alternatives, such as price regulation and increased generic competition, and it also considers the moral aspects of every option. While presenting the healthcare accessibility dilemma as a complex issue, policymakers can more easily work towards a health system that benefits everyone.
Elements of the Problem/Issue
According to the Agency for Healthcare Research and Quality (n,d), vast amounts of money spent on prescription medication create a massive struggle for patients who must make hard decisions between buying necessary medicine and meeting other essential needs. This issue not only undermines personal health results but also imposes enormous strains on the distribution of funds for fundamental issues, thus restricting essential services (Bonitatibus, 2023). High costs emerge as a formidable barrier deterring people’s access to vital life-saving therapies, thus widening the gap in healthcare access and outcome quality. It requires a strategy that includes several initiatives, such as policy reforms, shaping collaborative efforts of the stakeholders, and finding innovative solutions for the treatment interests of all patients.
Analysis
From the analysis, the high price of prescription drugs in the U.S. results from several factors without how price controls are lacking. Contrary to the practices employed by many other developed countries, the U.S. does not directly limit drug prices; therefore, pharmaceutical companies have the freedom to determine prices on their own (Miller, 2024). The absence of supervision frequently produces high drug price problems and raises consumer and healthcare-providing systems. Beyond that, the complex U.S. healthcare system involving various reimbursement and patent protection mechanisms worsens the problem. Therefore, appropriately tackling these issues is a must to lighten the economic distress of patients and enhance the availability of critical drugs.
Through exclusive patent rights, pharmaceutical company monopolies significantly increase the prices of brand drugs that consumers must pay. With these monopolies, the companies gain close market freedom, allowing them to set prices freely without significant competition (Bonitatibus, 2023). Thus, patients can then have many financial problems or even avoid essential medicines because of their unaffordability. Moreover, monopolistic tendencies can stunt the advancement of innovation by making competition less attractive and hamper the development of relatively cheaper generic products. Policymakers must find ways to balance the incentives for innovation with ensuring access to life-saving drugs, for instance, through introducing patent reforms or motivating generic competition through faster registration of the drugs. Therefore, it is indispensable that solving the issue of pharmaceutical monopolies be a priority for fairness in healthcare.
With the emergence of direct-to-consumer advertising (DTCA), patients’ views and healthcare choices are profoundly influenced. Pharmaceutical companies can use marketing campaigns that state the benefits of their products, which may shape how drugs are prescribed (Macias et al., 2017). While DTCA is helpful to patients, it also carries risks, such as promoting specific medicines without regard to individual patient needs and general health implications. Healthcare providers should tackle these challenges prudently, correctly give patients adequate information when appropriate, and scrutinize their prescribed treatments. The adherence to informed consumer decision-making while maintaining the need for empirically driven prescribing methods will remain critical in conserving the dignity and potency of healthcare services.
Considering Options
Price negotiation with pharmaceutical firms by the government is a strategic act that the government uses to contain healthcare costs. By adopting measures observed in foreign countries, like collective bargaining and reference pricing, the government can exercise its power to secure lower drug prices (Miller, 2024). This negotiation process helps to promote transparency and accountability within the drug industry to facilitate access to the essentials of their citizen’s medication. It cultivates a working environment where the public’s health concerns and economic factors complement one another. These negotiations can help healthcare systems reduce financial burden and enhance patient outcomes.
This strategy will make the pharmaceutical market more competitive and help reduce medication costs for seniors. Using Medicare’s leverage, the federal government can gain control of lower prices from pharmaceutical firms, resulting in lower medication prices for beneficiaries (Miller, 2024). This could be done through negotiations that would increase the availability of critical medicines and ease the financial burden of older Americans, many of whom are facing difficulty in paying for affordable prescription drugs. This would mean moving toward a preventive practice, examining the viability of Medicare for the years to come, and, in the future, having better health outcomes and a promising economic outlook for older people.
Promoting the use of generics in medication usage also plays a crucial part in reducing medication expenses. Through marketing their availability and offering encouragement, healthcare systems can significantly lower patients’ and insurance companies’ expenses (Franquiz & McGuire, 2020). A typical generic drug is often a cheaper but equally effective and safe alternative to the branded drug. Their implementation not only provides a cost-effective way of medication but also increases access to the medication, especially for the deprived people. Generics practice is the area for a more sustainable healthcare environment that promotes affordability while providing quality healthcare, resulting in better public health results.
Solution
Implementing Medicare Drug Price Negotiation
The act of Medicare price negotiation for drugs is undoubtedly the most promising option, based on the government’s ample bargaining power in securing lower prices of all drugs depending on the large senior population. Through an engagement in negotiations with pharmaceutical firms, Medicare can result in cost reductions and thus make essential medications affordable and accessible to many more people (Miller, 2024). This provision is foundational in maintaining the primary purpose of making healthcare accessible and living well for most senior citizens who often bear the cost of high drug prices. In a nutshell, the Medicare drug price negotiation can resolve one of the existing problems of medication expenditure.
Implementation
The drug price negotiations under Medicare are complicated and can only be triggered through legislative measures. This would encompass creating strict policies for dealing with pharmaceutical firms without jeopardizing the balance between making the medications available and encouraging innovation in the industry (Miller, 2024). This act must include representatives of the various stakeholders, such as the patients, healthcare providers, and drug producers. Assigning a system of negotiations to the Medicare system will be paramount for achieving fair pricing and a timely supply of advanced remedies for the beneficiaries.
Ethical Implications
The concept of beneficence in medical ethics implies that healthcare professionals should focus primarily on the benefit of their patients. The principle of cost reduction in pharmaceutical negotiation is another example of how it can provide access to many people needing necessary medication (Varkey, 2020). Using negotiation strategies to maintain quality while reducing expenses, healthcare providers and pharma brands can jointly work to alleviate the financial burden of patients by providing essential treatment. These projects showcase the professional commitment to the patient-centered mindset and fair treatment in healthcare.
Nonmaleficence, as a fundamental ethical principle, is based on the concept of avoidance of harm. It is essential to stick to this principle regarding the negotiation of the research and development of drugs and the availability of new therapies (Varkey, 2020). Stakeholders need strategies that would mitigate off-chance harm to patients with whom any agreed conditions safeguard their welfare. Through the observance of nonmaleficence, drug development, and management can attempt to reconcile medical innovation and the protection of individuals from potential harm, thus providing a professional and ethical approach to drug development and accessibility.
Inpatient autonomy, people have the inherent power to be part of the decision-making process concerning their drugs. This autonomy must not be compromised, but the patients must have the right to choose the treatment that suits their choices and health conditions (Varkey, 2020). Settlements within healthcare facilities should never restrict access to the medications that experts prescribe. This principle will help cultivate a collaborative environment where patients feel supported and have the time to make informed choices about their health, leading to better patient-centered care and improving the relationship between the healthcare providers and the patients.
Achieving justice in healthcare must be based on equal access to affordable drugs, which is very important when senior patients are experiencing financial constraints. The negotiation process should emphasize fairness to secure reduced drug prices, which benefits senior citizens from different socioeconomic backgrounds (Varkey, 2020). Such an approach helps attain a fair healthcare system and bottoms based on fairness and equity. By removing these barriers, society will advance to a more cooperative and compassionate medical system that considers all people, including the elderly.
Research suggests that adding Medicare drug price negotiation to its existing program will result in significant cost savings and guarantee continued access to new drugs and continued innovation. By negotiating drug prices with drug companies, the government could bring down the cost of treatment for patients and the healthcare system (Miller, 2024). Research indicates that the implementation of such negotiation tactics used in other nations is an effective way of cost control without affecting patients’ needs for medication and pharmaceutical innovations. This method is attractive as a solution to the problem of increasing the price of prescription medications while achieving a high level of health care.
In conclusion, the outrageous price of prescription drugs in the U.S. forms a complex issue with deep concerns. The proposal that gives Medicare the right to negotiate drug prices is an ethically justified way of solving this dilemma. By employing the excellent bargaining power of a comprehensive government program, these discussions could remedy the rising cost of medicines for many Americans. This is based on the ethical principles of fairness and accessibility in health, and it aims to make it possible for individuals to acquire needed treatments without having financial problems. Implementing such reforms may significantly improve healthcare equity and reduce the burden of patients with high drug bills, among others.
References
Agency for Healthcare Research and Quality. (n.d.). EPC evidence-based reports. http://www.ahrq.gov/research/findings/evidence-based-reports/index.html
Bonitatibus, S. (2023). Following the Money: Untangling U.S. Prescription Drug Financing. Center for American Progress; Center for American Progress. https://www.americanprogress.org/article/following-the-money-untangling-u-s-prescription-drug-financing/#:~:text=American%20prescription%20drug%20spending%20totaled,United%20States’%20gross%20domestic%20product.
Franquiz, M. J., & McGuire, A. L. (2020). Direct-to-Consumer Drug Advertisement and Prescribing Practices: Evidence Review and Practical Guidance for Clinicians. Journal of General Internal Medicine, 36(5), 1390–1394. https://doi.org/10.1007/s11606-020-06218-x
Macias, C. G., Loveless, J. N., Jackson, A. N., & Suresh, S. (2017). Delivering Value Through Evidence-Based Practice. Clinical Pediatric Emergency Medicine, 18(2), 89–97.
Miller, L. (2024). The Future of Medicare Drug Price Negotiation and Pharmaceutical Innovation. Chicago Policy Review. https://chicagopolicyreview.org/2024/01/22/the-future-of-medicare-drug-price-negotiation-and-pharmaceutical-innovation/#:~:text=Pharmaceutical%20companies%20and%20their%20lobbying,lifesaving%20medicines%20from%20reaching%20patients.
Varkey, B. (2020). Principles of Clinical Ethics and Their Application to Practice. Medical Principles and Practice, 30(1), 17–28. https://doi.org/10.1159/000509119
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