Early Milky Way Galaxy Discovered – Universe’s First Galaxy Confirmed
- Scientists continue to push the boundaries of astronomy and cosmology,thanks to next-generation instruments that can see farther and clearer than ever before.
- Through these efforts,astronomers have observed some of the earliest galaxies in the Universe.
- In a recent study, a team of astronomers led by the University of Pittsburgh (UPitt) uncovered what could be the earliest barred spiral galaxy ever observed.
Scientists continue to push the boundaries of astronomy and cosmology,thanks to next-generation instruments that can see farther and clearer than ever before.
Through these efforts,astronomers have observed some of the earliest galaxies in the Universe. In turn, this has led to refined theories and timelines of galactic formation and evolution.
The Inflation Reduction Act and Prescription Drug Pricing
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The Inflation Reduction Act of 2022 allows Medicare to negotiate the prices of certain high-cost prescription drugs, marking a significant shift in federal policy aimed at lowering healthcare costs for seniors. this negotiation process began in 2023, with the first negotiated prices taking effect in 2026.
How Medicare Drug Price Negotiation Works
Prior to the Inflation Reduction Act, Medicare was prohibited from directly negotiating drug prices with pharmaceutical companies. The new law empowers the Centers for Medicare & Medicaid Services (CMS) to select drugs for negotiation based on factors like high Medicare spending and lack of generic or biosimilar competition. Negotiations focus on single-source brand-name drugs without generic or biosimilar alternatives.
The initial 10 drugs selected for negotiation in 2023 are expected to impact over 50 million Medicare beneficiaries. CMS will publish the negotiated prices each year, with additional drugs being added to the negotiation list in subsequent years. CMS Fact Sheet on Drug Price Negotiation provides detailed information on the process.
Example: On August 29, 2023, CMS announced the first 10 drugs selected for Medicare price negotiation, including Eliquis (apixaban) for preventing blood clots, Jardiance (empagliflozin) for diabetes, and Xarelto (rivaroxaban) also for blood clots. CMS Press Release
Drugs Eligible for Negotiation
The Inflation Reduction Act specifies criteria for drug eligibility. Drugs must be covered under Medicare Part D or Part B, have been on the market for at least nine years (for small molecule drugs) or five years (for biologics), and lack generic or biosimilar competition.The law also includes exceptions for certain drugs, such as those with low Medicare spending or those designated as orphan drugs.
The Congressional Budget Office (CBO) estimates that the negotiation process will reduce federal spending by $101.4 billion over ten years (2023-2032). CBO Report on the Inflation Reduction Act. The CBO also projects that these savings will be partially offset by reduced pharmaceutical innovation.
Evidence: The initial list of 10 drugs selected for negotiation represents $50.5 billion in Medicare drug spending in 2022, according to CMS.CMS Fact sheet
Impact on Pharmaceutical Companies
The Inflation Reduction act has drawn criticism from the pharmaceutical industry, which argues that price negotiation will stifle innovation and reduce investment in research and growth. Industry groups, such as the Pharmaceutical Research and manufacturers of America (PhRMA), have filed lawsuits challenging the constitutionality of the law. PhRMA Press Release on Lawsuit
Companies facing negotiation may respond by reducing investment in new drug development,focusing on drugs that are not subject to negotiation,or raising prices on other products. The extent of these effects remains to be seen. the Biden management maintains that the law strikes a balance between lowering costs for patients and preserving incentives for innovation.
Example: Merck & Co.and Johnson & Johnson have publicly expressed concerns about the impact of the Inflation Reduction Act on their future revenue and research investments. Reuters Report on Pharma Company Concerns