GAO reports on “extraordianary” price increases for some prescription meds

A report from the Government Accountability Office (GAO) issued Mondayfinds that “[p]rices on a growing number of prescription medicationshave ballooned in recent years as consolidation in the drug industryleaves fewer companies manufacturing niche medications,” The Associated Press reports.”Congressional investigators say the number of extraordinary pricehikes on drugs doubled between 2000 and 2008. The drugs affected aremostly specialty medications but also include some popular productslike Bayer’s antibiotic Cipro and the Eli Lilly schizophrenia treatmentZyprexa.” The report attributed the rise to a combination of factors,including industry consolidation and price hikes by third-partyproviders who repackage drugs for patients. The GAO’s findings couldput new pressure on drugmakers to contribute billions more to thehealth-care reform effort being finalized by Congressional Democrats.

Source and more:  Kaiser Health News/AP: http://www.kaiserhealthnews.org/Daily-Reports/2010/January/12/GAO-Drug-Report.aspx

GAO report:  http://www.gao.gov/new.items/d10201.pdf