US Pharmaceutical Companies Have Enjoyed Their Day In The Sun, But Is It Time To Get Out The Umbrella?
Despite having the highest healthcare expenditure of all industrialized nations – 17.1% of GDP in 2013 – US public health is far below that of other advanced economies. In 2010, the Affordable Care Act was designed to correct these shortcomings by increasing access to health insurance. Now, the question of cost has become a crucial issue. Households are finding that the high price of medicines is becoming prohibitive. This has led to a rising call for reform (especially during the presidential campaign). A drop in prices would certainly affect the bottom line of the companies working in this sector, especially the laboratories who would be forced to review their operations and cut back on research and development (R&D) spending.
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