2min chapter

Planet Money cover image

Inflation Reduction Actually

Planet Money

CHAPTER

New Ways to Save Money on Prescription Drugs

Medicare is going to negotiate prescription drug prices with drug companies. The law says that if pharmaceutical companies raise prices for any prescription drugs faster than the rate of inflation, Medicare just won't pay. Drug companies will have to make up the difference by giving a rebate. All that should save the government as much as $200 billion according to the CBO's early estimate.

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