Choose a policy issue, law, ordinance, etc. related to healthcare that interests you related to your past/current/future work. Provide 1-2 paragraphs of financial or political evaluation of such policy using the tools presented in your text this week. You may also select a process outside of the book if you wish, as long as it is legit and your team can support it. Give the reference so we know where this policy is from.

Co-Author: Tamina Pfiffer

One of the pressing healthcare issues in 2018 that has been an issue in other countries as well in the recent past is the pricing of prescription drugs.

The issue to be investigated is the rising cost associated with prescription drugs that has seen an upward trend in the recent past and has been started to be evaluated as a political investigation of policy revision.

In 2017 the Food and Drug Administration has passed a Reauthorization Act in 2017 which, has for the first time in the history of that topic, been approved by both chambers, allowing for expedited access to the market generics and biosimilar.

With this recent enactment and policy change the patient access to affordable drugs was accelerated by having the policy change the timelines and review of generic drug applications (FDA, 2018).

Political evaluation on this issue has to include scanning the fours variables of a political feasibility assessment. For the above issue of prescription drug cost, the main actors determining the price for drugs, or inhibiting the market availability of generic drugs have to be identified, which include but are not limited to the pharmaceutical sponsors and ancillary supplier. When looking at the input and interplay one has to determined the impact a policy change in generic entry has on the pricing in the phase of pricing before patent expiration as the pricing in this phase might be higher to recoup anticipated earlier generic entry. Also other implications such as the threshold of adoption by industry stakeholders and patient advocate groups have to be evaluated. One can financially argue for the patient however, one has to see the profit margin for pharmaceutical sponsors and the ethical and financial effects it might have on the entire industry and how it might deteriorate the market (McLaughlin & McLaughlin, 2015).

From a political standpoint, therefore it could be a threat to the American pharmaceutical market as well as ethical implications that might lead to financial, political, and economic changes by having an increasing number of generic providers entering the market.

The approach to have better access should be the goal, however it might be more policies that would decrease the research costs and thereby decrease the price for originals instead of the above policy issues as it raises more issues in the long-term both economically, financially, and politically.

References

FDA., (2018). Generic Drug User Fee Amendments. Retrieved from: https://www.fda.gov/ForIndustry/UserFees/GenericDrugUserFees/default.htm

McLaughlin, C. P., & McLaughlin, C. D. (2015). Health Policy Analysis: An Interdisciplinary Approach. New York: Jones and Bartlett.