Check Your Reference Pricing
This drug pricing model uses prices from other countries to cap domestic drug prices
What is External Reference Pricing?
Pharmaceutical companies employ this strategy to dominate the market and keep generic drugs off-market
What is monopoly (or market exclusivity)?
In 2022, prescription drug prices in this country were 2.78 times that of 33 other OECD countries
What is the United States?
This drug pricing model get its name from a popular streaming service
What is Netflix?
This drug pricing model groups drugs that are therapeutically similar and sets a common reimbursement level for all drugs within that class
What is Internal Reference Pricing?
This drug pricing model sets prices based on the therapeutic benefit and QALY improvements
What is value-based pricing?
Prices for these types of drugs are lower in the US compared to other OECD countries
What is generic drugs?
Drug prices typically face this kind of demand
What is Inelastic?
Robinson et al (2017) used this study design to show that internal reference pricing decreased employer spending, but increased out-of-pocket costs for employees
What is Difference-in-Differences?
This drug pricing model sets the price of a drug by calculating production (R&D) cost and adding a profit margin
What is cost-based pricing?
These 2 countries have the lowest drug prices
What is Japan and France?
This institute was the source for prices used in Yeung et al. (2022), which showed that value-based pricing could lead to annual savings of up to $57.5 billion
What is the Institute for Clinical and Economic Review (or ICER)?