Cost of Drugs

L.A. Weinrauch
  • JAMA, July 1974, American Medical Association (AMA)
  • DOI: 10.1001/jama.1974.03230430014006

Generic drugs does not guarantee cost reduction for the patient

What is it about?

Generic drug availability should reduce the costs for patients. But the new drug law does not mandate that all of the benefits go to the patient. Manipulation will occur and most of the cost benefits will not go to the patient. Likewise, there is no guarantee that the generic will be as good as the brand name, because no one is checking quality

Why is it important?

Go to several pharmacies with prescription and a Good Rx in your hand. Look at price differentials. 700% differences between Walmart, Costco, CVS and Walgreen's for same medication. If you are happy with that, then this isn't an important observation

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The following have contributed to this page: Larry Weinrauch