In 2017, biologic drugs represented 2 percent of all U.S. prescriptions, but 37 percent of net drug spending. Since 2014, biologic drugs account for nearly all of the growth in net drug spending. Why is that?
, the U.S. has the most efficient market in the world—by a healthy margin—for unbranded, small molecule, generic drugs. Today, 90 percent of all U.S. prescriptions are for generic drugs: the highest share in the world.
In the early 2000s, one of Johnson & Johnson’s versions of Amgen’s Epogen—called Eprex—was leading to reported cases of pure red cell aplasia, or PRCA. A new version of Eprex was causing a handful of patients to develop antibodies to Eprex. But that wasn’t the end of the story. In these rare cases, antibodies to Eprex also digested a patient’s indigenously produced erythropoietin.
The BPCIA was intended by its authors to provide regulatory clarity around biosimilars, something that had been stifling the biosimilars industry up to that point. But because the BPCIA was part of Obamacare, Obamacare-related politics affected the way in which the law was designed.
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