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Drug pricing, finally explained.

Medicaid alone spends $104 billion a year on drugs — through a maze of secret prices most pharmacists were never taught. Short, plain-English guides, with the real data behind every claim.

1

Pricing terms, decoded

NADAC, WAC, ASP, AWP, MAC — what every benchmark means, and which are real prices versus made-up ones.

6 min readRead
2

How to read an NDC

The 11 digits on every drug package — what they mean, and the 10-vs-11-digit mess that trips everyone up.

4 min readRead
3

How a drug gets to market

Brand vs generic, NDA vs ANDA, patents and exclusivity, and why prices collapse when protection ends.

6 min readRead
4

Biosimilars, explained

Why there's no such thing as a 'generic biologic', the four-letter suffixes, and what 'interchangeable' really means.

5 min readRead
5

Specialty drugs

A sliver of prescriptions, half of all drug spend — what makes a drug 'specialty' and why they run the market.

5 min readRead
6

Why drugs go into shortage

The paradox that the cheapest drugs break first — sole-source generics, sterile injectables, and thin margins.

6 min readRead
7

Rebates and the gross-to-net gap

The hidden money flow: why list prices and what's really paid diverge, and how rebates quietly shape your formulary.

6 min readRead
8

The PBM contracts

The most consequential secret documents in health care — and what subpoenas, audits, and lawsuits pried out of them.

7 min readRead
9

The pharmacy carve-out

When a state takes the drug benefit back from PBMs and pays pharmacies directly — what changes, who's done it, and why pharmacies fight for it.

6 min readRead
10

Medicare Part D

How the outpatient drug benefit is priced: plans, the $2,000 cap, and Medicare's new power to negotiate.

5 min readRead
11

Medicaid

The rebate machine, NADAC reimbursement, and why the same generic costs different amounts state to state.

5 min readRead
12

The 340B program

The federal discount that funds safety-net care — how it works, why it exploded past $100B, and why it's so fought over.

6 min readRead
13

The community pharmacy

Where it all lands: PBMs, spread pricing, PSAOs, and why pharmacies close while filling record volume.

6 min readRead
14

Putting it all together

The whole picture: the players, how a drug travels the system, and why its price moves up and down at every step.

5 min readRead

More guides on the way

Coming next: how to read a pharmacy claim, and the patient's side — copay, coinsurance, deductibles, and why the same drug costs everyone a different amount.