Projecting future drug expenditures - 2010

James M. Hoffman, Fred Doloresco, Lee C. Vermeulen, Nilay D Shah, Linda Matusiak, Robert J. Hunkler, Glen T. Schumock

Research output: Contribution to journalArticle

17 Scopus citations

Abstract

Purpose. Drug expenditure trends in 2008 and 2009, projected drug expenditures for 2010, and factors likely to influence drug expenditures are discussed. Summary. Various factors are likely to influence drug expenditures in 2010, including drugs in development, the diffusion of new drugs, generic drugs, health care reform, drug safety concerns, and comparative effectiveness research. The increasing availability of important generic drugs continues to moderate growth in drug expenditures. Health care reform initiatives, including the potential for biosimilars legislation, will influence drug expenditures in all settings. From 2007 to 2008, total U.S. drug expenditures increased by 1.8%, with total spending rising from $279.6 billion to $284.7 billion. Growth in drug expenditures in clinics declined to the lowest level in a decade, a 1.0% increase from 2007 to 2008. Hospital drug expenditures increased at a moderate rate of only 2.1% from 2007 to 2008; through the first nine months of 2009, hospital drug expenditures increased by 3.0% compared with the same period in 2008. Conclusion. In 2010, we project a 3-5% increase in drug expenditures in outpatient settings, a 6-8% increase in expenditures for clinic-administered drugs, and a 2-4% increase in hospital drug expenditures.

Original languageEnglish (US)
Pages (from-to)919-928
Number of pages10
JournalAmerican Journal of Health-System Pharmacy
Volume67
Issue number11
DOIs
StatePublished - Jun 1 2010

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Keywords

  • Costs
  • Drugs
  • Economics
  • Health-benefit programs
  • Pharmacy, institutional, hospital
  • Product development

ASJC Scopus subject areas

  • Pharmacology
  • Health Policy
  • Medicine(all)

Cite this

Hoffman, J. M., Doloresco, F., Vermeulen, L. C., Shah, N. D., Matusiak, L., Hunkler, R. J., & Schumock, G. T. (2010). Projecting future drug expenditures - 2010. American Journal of Health-System Pharmacy, 67(11), 919-928. https://doi.org/10.2146/ajhp100068