Summary

A new modeling study published in The Lancet suggests that U.S. Medicare's new "Most-Favored-Nation" pricing policy, which ties what Medicare pays for medicines to prices charged in other high-income countries, could push pharmaceutical manufacturers to raise prices or delay launches. For about three in four medicines studied, the resulting Medicare savings would be worth almost four times that medicine's entire annual sales in the country used to set its price, potentially giving manufacturers a strong incentive to change how they price and launch products outside the U.S.

AI summaries can be wrong sometimes—always verify important details using the source article.