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Comment & Response
December 13, 2016

Factors Influencing Prescription Drug Costs in the United States

Author Affiliations
  • 1Department of Sociology, University of Cambridge, Cambridge, United Kingdom
 

Copyright 2016 American Medical Association. All Rights Reserved.

JAMA. 2016;316(22):2431. doi:10.1001/jama.2016.17293

To the Editor In their Special Communication, Dr Kesselheim and colleagues1 challenged an industry claim by finding that “there is little evidence of an association between research and development costs and drug prices,” with drugs instead priced in the United States based on what health systems and society can bear. Several interrelated trends in corporate governance and the financial sector can further explain this phenomenon of high and often escalating prices despite large companies investing only 10% to 20% of their revenue on research and development.

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