Abstract
The Inflation Reduction Act (IRA) of 2022 enacts a drug price reform allowing the government to negotiate prices of drugs covered under Medicare Parts B and D. Combined with cost-effectiveness reviews by the Institute for Clinical and Economic Review (ICER), the IRA may have a long-term impact on U.S. drug pricing. The objective of this study was to leverage the value framework employed by ICER to determine the best approach for manufacturers subjected to the IRA law during price negotiations.
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