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False Choice: Drug Price Reductions Won’t Undermine Innovation, Bentley Researchers Argue

 
• By Cathy Kelly

Paper by Bentley University researchers and West Health considers the impact of drug pricing reforms on large and small biopharma companies if Medicare is authorized to negotiate drug prices.

Paper brings focus on how price controls impact small biotechs. • Source: Alamy

Arguments that drug price controls will necessarily lead to reduced innovation raise a “false choice” that does not hold under close scrutiny of the relationship between revenues and research and development spending, according to a white paper by researchers at Bentley University’s Center for the Integration of Science and Industry and the West Health Policy Center.

“Policy makers do not need to make a false choice between reducing prices to ensure the availability of pharmaceutical products currently on the market and the innovation required to bring...

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