According to studies conducted by the Pharmaceutical Research and Manufacturers of America (PhRMA), a small portion of Medicaid spending is due to prescription medications.
This amount has continued to decrease as more medications have entered the market and generic medications have been developed. Presently, prescription drugs account for just 4.5 percent of Medicaid spending. In 2014, every state in the U.S. spent less than two percent of its budget on fee-for-service prescription medications.
PhRMA did a state-by-state analysis on Medicaid spending on prescriptions in 2014. While the percentages for the states were slightly different, they were all low.
To read the state-by-state analysis, visit http://catalyst.phrma.org.
