title: Generic drug cost containment in Medicaid: lessons from five state MAC programs.
abstract: In Medicaid, generic drug cost containment revolves around two programs: the Federal upper limit (FUL) program and State maximum allowable cost (MAC) programs. This article analyzes MAC programs in five States and finds considerable variation between these programs and the FUL program in both size and pricing aggressiveness. We conclude that expansion of existing MAC programs and creation of new ones could contribute to cost containment efforts nationwide. Options for States seeking to optimize their efforts include focusing on pricing for drugs with high sales volumes, ensuring that MAC lists include prices for all forms and dosages of listed drug entities, and collaborating with other States or the Federal Government on MAC list operations.
authors.affiliation: Nova Southeastern University College of Pharmacy, USA. rick.abramson@uphs.upenn.edu
authors.forename: Richard G
authors.initials: RG
authors.lastname: Abramson
authors.forename: Catherine A
authors.initials: CA
authors.lastname: Harrington
authors.forename: Raad
authors.initials: R
authors.lastname: Missmar
authors.forename: Susan P
authors.initials: SP
authors.lastname: Li
authors.forename: Daniel N
authors.initials: DN
authors.lastname: Mendelson
mesh_terms: D003363:Cost Control / Q000331:legislation & jurisprudence*; D016527:Drug Costs / Q000331:legislation & jurisprudence*; D016568:Drugs, Generic / Q000008:administration & dosage / Q000145:classification / Q000191:economics*; D006801:Humans; D008484:Medicaid / Q000191:economics*; D014481:United States
chemical_list: D016568:Drugs, Generic