With the election outcome certain, we explore how the Trump administration could impact prescription drug pricing, vaccine sales, and pharma advertising.
1. Will Trump take a tougher or weaker stance than Joe Biden on Medicare drug price negotiations?
As part of Biden’s Inflation Reduction Act (IRA), the government was authorized to negotiate directly with pharmaceutical manufacturers to lower drug prices for Medicare for the first time. The final negotiated prices of the first 10 prescription drugs were released in August. For context, we estimate that Medicare will spend over $322 billion on prescription drugs this year, accounting for nearly half of all Rx spending in the US.