ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Thursday, February 15, 1996 TAG: 9602150101
SECTION: NATIONAL/INTERNATIONAL PAGE: A-8 EDITION: METRO
DATELINE: NEW YORK
SOURCE: Associated Press
The prices drug companies charge for the top 500 prescription medicines rose 4.6 percent in 1995, more than double the wholesale inflation rate, a study by retail druggists said Wednesday.
The results bolster evidence that the pharmaceutical industry has raised prices aggressively in the two years since national health care reform efforts failed.
Drug manufacturers disputed the study's accuracy, saying it fails to reflect discounts given to health insurers and other vendors of prescription medicine.
Among the drug categories that the study said gained the most: diuretics, which are used to treat high blood pressure and congestive heart failure, up 33.4 percent; cough and cold drugs, up 12.8 percent; skin disorder drugs, up 9.5 percent; and antidepressants, up 7.2 percent.
Drug industry critics say manufacturers are exploiting the demise of President Clinton's health care reforms and the pro-business attitude of Republicans in Congress to raise prices faster than in past years.
Drug industry profits are among the healthiest in U.S. industry.
Jeff Trewitt, a spokesman for the Pharmaceutical Research and Manufacturers of America, said prices reflect the high cost of researching and developing drugs, which he said now averages $400 million each.
He noted that the government's wholesale price index for all prescription drugs - which does factor in some discounts - was just 3.7 percent in 1995.
LENGTH: Short : 38 linesby CNB