Forbes September 25, 2024
Government-imposed price controls, which establish limits on what can be charged for a good or service, are often promoted as a way to stabilize costs for consumers. In healthcare, price controls cap the costs of treatment and pharmaceutical products. The Inflation Reduction Act of 2022, for instance, capped out-of-pocket prescription drug costs in Medicare and requires drug companies that raise their drug prices faster than inflation to pay Medicare a rebate. In the recent presidential debate, Vice President Kamala Harris advocated for expanding these IRA measures—a move that aligns with her official policy platform, which plans to decrease patient costs by extending the $2,000 cap on out-of-pocket spending to all Americans.
Government intervention, regardless of the industry, distorts the market....
Today's Sponsors
Today's Sponsor