Congress should repeal every word of the Biden Inflation Acceleration Act, including the price controls on prescription drugs.
The price controls will undermine the incentives to develop new cures across the board but are especially harsh on pills. Pill-form so-called "small molecule" drugs can be subjected to government price controls as soon as nine years after FDA approval, while "large molecule" drugs, which are those that come as injections or intravenously, are allowed 13 years of market pricing.
Unleash Prosperity economist Tomas Philipson and his colleagues at the University of Chicago estimated that the pill penalty would slash R&D investments by over $230 billion, resulting in the loss of 79 new drugs.
"This forgone innovation is expected to lead to 116.0 million life years lost due to the missed opportunities to improve health," they find.
In other words, the pill price controls are bad for your health.
North Carolina Rep. Greg Murphy is the sponsor of the Ensuring Pathways to Innovative Cures Act, which eliminates Biden’s pill penalty.
