Brands vs Generics - who is right?

It could be possible that the predictions in both of these reports are correct, but Insider doubts it somewhat.

So, who to believe? That is the question.

For Generics

Consumers, their employers and health plans in the commercial market could have saved more than $20 billion last year through increased use of generic drugs, according to a new report by Express Scripts Inc., a pharmacy benefit manager.

Express Scripts estimates that if more actions aren't taken to increase generic use, $24 billion in saving will be lost this year and $25 billion will be left on the table in 2006. It said that on average a generic drug costs about $60 less per monthly prescription than a brand name medicine. Consumers also pay lower copayments for generics, saving $10 or more per prescription by forgoing a brand name medicine.

http://www.kare11.com/health/health_article.aspx?storyid=109857

For Brands

Prescription drug sales are projected to soar in the United States next year, fueled in part by a $400 billion expansion of the nation's Medicare program, a pharmaceutical research company reported Tuesday.

The U.S. drug market, which already accounts for 43 percent of global pharmaceutical sales, is projected to grow between 8 percent and 9 percent in 2006, according to IMS Health. That's above the expected growth rate globally of 6 percent to 7 percent.

http://www.kfmb.com/stories/story.26974.html

Maybe the truth lies here:

http://money.cnn.com/2005/10/25/news/midcaps/generic/index.htm