Follow the Dollar: Measuring Who Profits From a Brand-Name Prescription (rerun)

Let's wrap up 2016 with a super popular chart that untangles prescription economics—the perfect present for a curious member of your family.  Click here to see the original post and comments from October 2016.



You should also check out Follow the Dollar: The Movie. See you in 2017!


Now, here’s something I hope you’ll really like!

I recently collaborated with Julie Appleby at Kaiser Health News (KHN) to explain the flow of funds between a pharmaceutical manufacturer and the patient.

The resulting graphic (below) uses a typical brand-name prescription to show the profits earned by key drug channel participants: manufacturers, pharmacy benefit managers (PBMs), wholesalers, and pharmacies. It also illustrates the payer’s net costs and manufacturer’s net price.

KHN’s well-produced design complements the less pretty Rube Goldberg diagram that I shared in Follow the Dollar: The U.S. Pharmacy Distribution and Reimbursement System. The KHN chart may look like a PTCTU*, but it will help you understand the method to the madness.

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