The Great Rebate Debate: Why Do They Exist?

A Senate hearing on drug pricing and the supply chain inevitably focused on the role of rebates. Committee Chairman Lamar Alexander offered a simple-sounding solution: get rid of them. That’s easier said than done, of course, but it did trigger some interesting discussion from different trade sectors.

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The first question from Senate Health Education Labor & Pensions Committee Chairman Lamar Alexander (R-Tenn.) during the committee’s Oct. 17 drug pricing hearing demonstrates the triumph of the pharmaceutical industry’s campaign to broaden the discussion around prices.

The discussion that followed is a sign that there are limits to that success.

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