All participants in the prescription drug supply chain deserve scrutiny, but weakening the mechanisms that extract price concessions will not lower drug spending. The more likely outcomes are gains for drug companies and less efficient pharmacies, and higher drug costs. Effects will be especially felt by seniors on Medicare and by smaller employers that lack the leverage to offset the law’s new constraints.
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The CRFB’s latest projection comes in the context of a war on words between the budget-hawk think tank and the White House itself. The day after the Supreme Court ruling, CRFB President Maya MacGuineas warned that losing the IEEPA tariffs could add roughly $2 trillion to the national deficit over the next decade, a projection that Treasury Secretary Scott Bessent immediately took issue with on Fox News. “Maya MacGuineas should be ashamed,” Bessent declared on air, suggesting she should “take the word ‘responsible’ out of her organization’s name.” He called her numbers “wrong” and insisted federal revenue would hold steady because the president had quickly replaced the struck-down levies with new 10% tariffs—exactly the subject of these latest projections from the MacGuineas’ shop.