New GAO Report Reveals Underreported Taxpayer Contributions to Pharma Research

Press Release

"Oversight Committee Democrats' years-long investigation found that some pharmaceutical companies use taxpayer funded research to develop lifesaving prescription medications but then charge Americans sky-high prices for those medications by claiming the prices are justified by the high costs of research and development. This new GAO report shows that pharma's claims have been badly misleading and demonstrates why Congress must support reforms that provide more transparency into how much drug companies are actually spending on research and development," said Ranking Member Raskin.

"Critical drugs exist because of taxpayer dollars from American families, yet Americans are forced to pay the highest drug prices in the world. This new report provides further evidence that drug companies are misleading the public on who bears the cost of the development of new drugs, and our bill will push them to be more transparent," said Senator Stabenow.

"Americans deserve to know why they pay more for their prescription drugs than any country in the world," said Senator Smith. "This bill would require drug companies to disclose how much they're spending on research and development so Americans can finally understand the real costs of their medication. I will keep pushing to make sure this commonsense legislation gets across the finish line."

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