Generic and Brand Drugs

Generic and Brand Drugs

generic and brand drugs


As reported in 2012, Americans spend more than $271 billion dollars on prescription medicines annually. Total spending on drug therapy total about $300 billion dollars, including over-the-counter (OTC) drug remedies,valued at 31 billion.





Compounding pharmacies are a long-standing yet less frequently discussed element in the complex matrix of prescription drug manufacturing, distribution and patient use. The term refers to any physical pharmacy that is licensed to mix or "compound" chemical ingredients into a finished medication ready to use by an individual patient, based on a prescription ordered by a physician or other legally authorized prescriber.





Buying more generic prescription drugs instead of their brand-name equivalents and purchasing brand-name drugs with discounts can significantly reduce overall prescription drug expenditures. Federal actuaries recently reported that the use of generic medications and an increase in Medicaid prescription drug rebates would continue to slow spending. Eighty percent of all prescription medications dispensed in 2011 were classified as generic drugs, an increase of 13 percent from 2007.  At the same time. many newer drugs, including all biological products, have no approved generic equivalent and can play a central role in life-extending situations.



Share this: 


New Members Welcome


  • PHARMACEUTICALS: Facts, Policies and NCSL Resources

    This compendium describes a range of facts and policy resources about states and pharmaceuticals. 2014 reports reveal 86% of filled prescriptions are generic products, while specialty drugs prices increased 14-15% in one year.

We are the nation's most respected bipartisan organization providing states support, ideas, connections and a strong voice on Capitol Hill.

NCSL Member Toolbox


7700 East First Place
Denver, CO 80230
Tel: 303-364-7700 | Fax: 303-364-7800


444 North Capitol Street, N.W., Suite 515
Washington, D.C. 20001
Tel: 202-624-5400 | Fax: 202-737-1069

Copyright 2014 by National Conference of State Legislatures