Will Price Controls Secretly Harm Health Advances

Real-World Examples and Data

Countries that have implemented strict price controls provide a useful lens through which to examine these impacts. For instance, in Europe, where price controls are more common, there is often a delay in the availability of new drugs compared to the United States². This delay can be attributed to the lengthy negotiations over pricing and the reduced incentive for pharmaceutical companies to prioritize these markets. Additionally, a study by the National Bureau of Economic Research found that price controls could lead to a reduction in the number of new drugs entering the market by up to 30%³.