It’s been more than a month since Congress passed the horrifically bad Inflation “Reduction” Act, and we are still licking our wounds about the defeat.
This law is purely political and is terrible policy—both in its severe threats to pharmaceutical innovation and in further expansion of government health programs that will leave people with worse coverage and taxpayers with a bigger bill.
President Biden might just say farewell to his Cancer Moonshot Initiative. Already, pharmaceutical companies are shutting down research into treatments and cures as they face European-style price controls. Investors will walk away from supporting research when companies face a 95% penalty tax on their drugs if they don’t cave to Washington’s price dictates.
We had a meeting of the Health Policy Consensus Group Wednesday, and the conservative policy community is pressing forward with new ideas, undaunted by this defeat. (“Success is the ability to move from one failure to another without loss of enthusiasm.”)
Should there be a change in power in Congress after the November elections, we will be ready with ideas and policy innovations to reverse the damage and try to revive the battered free market for health care and coverage.
There are so many good ideas pent up in the private sector, but fledgling firms with consumer-friendly products and services get crushed competing with big public programs and big insurance companies and PBMs that bow to government–patient preference and affordability be damned. We must fix that.
Congress is preparing to adjourn—not a moment too soon—so members can head home to campaign. I will keep you updated with any health policy developments over the next month, so stay tuned.
Like us, be undaunted.