The Democrat's sweeping climate and health care bill holds some groundbreaking news for those of us on Medicare. As I have stated in the past, we have been overpaying for prescription drugs because our Federal government does not negotiate directly with the drug manufacturers, while other governments around the world do so.

In late April, The New York Times published an article about a report by the Office of Inspector General of Health and Human Services, regarding coverage provided by Medicare Advantage Plans. Advantage plans have become an increasingly popular option among older Americans, offering privatized versions of Medicare that are frequently less expensive and provide a wider array of benefits than the traditional government-run program offers.

The United States is the only developed country where the central government does not negotiate prices with prescription drug manufacturers. That is why, in 2019, US prescription drug spend per capita was roughly double that of similar countries. Why doesn’t the federal government negotiate with the drug manufacturers? Let’s look at what is going on.