The Pelosi Plan and “Me Too” Drugs

Supporters of Speaker Pelosi’s drug pricing plan (H.R. 3) claim the bill will discourage the development of so-called “me too” drugs. For example, Rep. Donna Shalala was recently quoted as saying: “I think it actually will reduce me-too drugs … I think [pharmaceutical companies] are going to clean their portfolios. … I think that they’ll become more efficient.” There’s just one problem: HR 3 is designed to have the opposite effect