PHARMACEUTICAL COMPANIES ARE BENEFITING FROM A SPIKE IN DRUG SPENDING

According to recent data provided by IQVIA, the U.S. spent $344 billion USD on prescriptions in 2018 alone. That is 4.5% more than the year prior. Collectively we paid more for drugs last year at a rate well above economic growth. This is due in large part to drugmakers launching new drugs with extremely high pricetags along with price increases on existing medications. The spending trend doesn’t seem to be going away. Early data from CMS suggests that net spending 2019 could rise at a similar rate.