Drug development will slow as government bureaucrats lower revenues through price controls.

Admittedly, some drug companies make themselves easy targets through questionable or illegal practices, but the industry has also been responsible for developing drug therapies that have extended the lifespan of and increased quality of life for millions of people.

Lowering pharmaceutical revenues through price controls will lead to less new drug development.

Based on a University of Chicago study, the impact of the CMS price negotiation could result in 135 fewer new drug approvals through 2039.

Without being able to recoup R&D costs, drug companies will reduce drug discovery projects and reallocate resources, thus limiting the potential to make a significant impact on the lives of patients.

In addition to the impact on new drug discoveries, government price-setting will also reduce the discovery of new uses for existing products.

Even if a new indication is gained in a different therapeutic area, the drug is still subject to the government-mandated price for its original use.

Establishing a government-mandated price on branded drugs could also lower the price any generic firm would charge. 

https://spectator.org/drug-making-big-pharma-an-offer-it-cant-refuse/