Trends in US prices for commonly used drugs assessed by GAO

According to a new report from the USA’s Government Accounting Office, prescription drug spending in 2009 totaled approximately $250 billion, of which $78 billion - or about 31% - was spent by the federal government.

Prescription drug spending by the federal government, patients, and third-party payers, including employers, is driven by many factors, including the prices paid for drugs. In 2007 the GAO reported on trends in retail prices - known as usual and customary (U&C) prices - for prescription drugs. It found that the average U&C price for the commonly used brand-name prescription drugs reviewed increased about 6% per year from January 2000 through January 2007.

Study requested by Congress