Study On The Government Regulation System Of Drug Price

The constant increase of medical cost is one of the common challenges encountered by most countries in the world in the area of medical service, of which virtually high drug price is the important factor. Therefore, most countries intend to directly or indirectly intervene drug price for the purpose of restraining the drug price from increasing too fast, so as to fully embody the welfare oriented health policy of the government. The regulation on drug price by Chinese government has experienced the process of project management to deregulation, then reinforcing regulation, which demonstrates the design and implementation of drug price regulation in China has been going on all along. Some systems, such as constraint price reduction, the drug centralized bid procurement and government-fixed price, may reduce the virtually high drug price to some extent. However, the public seems not to feel the real benefit, the rapid increase of drug price continues, the issues of imbalanced structure of pharmaceutical industry, non-ensured drug safety and availability still exist, which appears double-failure for market adjustment and government regulation on drug price. Based on the positive analysis of detailed drug price regulation systems currently implemented in our country, the author summarize the major appearances of the failure for drug price regulation systems in China, analyze the causes from the aspects of regulation body, government-fixed price, associated system and pharmaceutical industry policy, and discuss the rational way of how to construct the government regulation system that suited China's national conditions for dug price by consulting the reference of practical experience of drug price regulation reforms in developed countries.