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Prescription Drug Prices: Official Index Overstates Producer Price Inflation

HEHS-95-90 Published: Apr 28, 1995. Publicly Released: May 30, 1995.
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Highlights

Pursuant to a congressional request, GAO reviewed the producer price index (PPI) for prescription drugs, focusing on: (1) the accuracy of PPI as a measure of drug price inflation; (2) whether PPI could more accurately measure changes in the cost of purchasing drugs; and (3) common misuses of PPI.

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Topics

Health Care
Cost analysisDrugsHealth care cost controlInflationPharmaceutical industryPharmacological researchPrice adjustmentsPrice indexesPrice regulationPrices and pricingPrescription drugs