Reports by advocacy groups say drug prices outpace inflation

Two groups representing seniors issued a report saying prices for drugs the elderly need most have increased so much faster than the rate of inflation since 2000 that the Medicare discount cards set to take effect June 1 have less value than intended. The AARP said their study shows the prices of 197 of the most-prescribed brand-name drugs for seniors increased 27.6% between 2000 and 2003 while the rate of inflation was only 10.4%. Meanwhile, Families USA studied the top 30 brand-name drugs prescribed to seniors and found prices increases between January 2003 and January 2004 to be 4.3 times greater than the rate of inflation.

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