Recent studies show the wholesale price of brand name drugs will climb 9% in 2009, far above the negative inflation rate the rest of the U.S. economy is experiencing.
Experts say impending health care reform and distribution of drugs for free or at reduced prices, along with research and development funding, are fueling the price hike.
"The people who can pay, do pay," said Dr. Amy Peak of the Butler University College of Pharmacy. "That's why anyone with insurance pays more."
Peak said the pharmaceutical industry may be positioning itself for controls on drug prices expected in upcoming health care reform legislation and the mandate to provide health care to all patients with pre-existing conditions and the funding will have to come from somewhere.
"Its not that we're just paying for ourselves. We're paying for the other people who came before that aren't able to pay."
Industry estimates claim it takes up to 15 years and $800 million to bring a new drug to market and that only one of 10,000 drug proposals ever make it on to pharmacy shelves.
Experts say impending health care reform and distribution of drugs for free or at reduced prices, along with research and development funding, are fueling the price hike.
"The people who can pay, do pay," said Dr. Amy Peak of the Butler University College of Pharmacy. "That's why anyone with insurance pays more."
Peak said the pharmaceutical industry may be positioning itself for controls on drug prices expected in upcoming health care reform legislation and the mandate to provide health care to all patients with pre-existing conditions and the funding will have to come from somewhere.
"Its not that we're just paying for ourselves. We're paying for the other people who came before that aren't able to pay."
Industry estimates claim it takes up to 15 years and $800 million to bring a new drug to market and that only one of 10,000 drug proposals ever make it on to pharmacy shelves.
