June 01, 2007
Generics increase competition: study
A new study funded by PhRMA says the increasing use of authorized generics by drug companies has not led to delays in generic entry into the marketplace. “This study and others show that authorized generics are increasing competition and helping lower prescription drug prices for patients, not harming competition,” said PhRMA VP, policy and research, Lori Reilly. “As a result, proposals to restrict authorized generics would reduce consumer savings.”
The study by an MIT professor and Analysis Group researchers reportedly confirmed that the increase in generics had not reduced incentives to challenge brand name patents.