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A new report from the European Central Bank is out, and it calls for price controls on prescription drugs to cut down on drug costs and spur innovation, the Wall Street Journal reports.
The report's author, Mario Draghi, says price controls could reduce drug prices by 30% to 50% over the next five years, according to a press release.
But the Journal notes that the report " stops short of exploring more deeply the impact of price regulation on future drug innovation.
This raises questions about the consequences of restrictive policies like price controls, which can undermine innovation by reducing the financial incentives for private R&D investment, and can have global implications a point that Draghi's report does not fully explore."
The report also calls for more public and private investment in drug research.
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A customized collection of grant news from foundations and the federal government from around the Web.
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