"Unsupported" drug price hikes cost Americans billions

A building with the AbbVie logo and palm trees in the foreground.
AbbVie's Humira manufacturing plant in Puerto Rico. Photo: AbbVie

Price hikes on 7 prominent drugs — all of them above the rate of medical inflation, none supported by clinical evidence — cost Americans more than $5 billion over the last two years, according to a new report from the Institute for Clinical and Economic Review.

Why it matters: Drugmakers weren't hiking prices because their medications were safer or more effective than when they were approved. They did it because they could.

Pfizer merging off-patent drugs business with Mylan

Pfizer will merge its off-patent drugs business with generic maker Mylan to create a giant global seller of lower-priced drugs, the Wall Street Journal first reported.

Why it matters: The world's largest drug maker's deal with Mylan brings together two businesses that have experienced slowed sales since former big sellers lost patent protection.